Country overview

#133
Micronesia

Country stats

Rating Points
45
This indicator describes the overall rating of a given jurisdiction on several parameters according to cryptocurrency operations - market volume, crypto regulation, business climate, taxation framework.
Crypto Penetration
1%
Estimated percentage of crypto users out of the country's total population based on public data.
Legal Entities
0
Number of crypto companies registered in the country based on regulator data if available or other types of public data.
Regulation Points
20
An overall assessment of the granularity of crypto regulation in a given country. A high score is also given to countries where cryptocurrency transactions are highly regulated.
Amount of crypto users
1Β 000
Total amount of crypto users out of the country's total population based on public data.
Taxation points
15
This figure, according to our analysts' calculations, indicates the overall level of tax burden for cryptocurrency transactions in a given country. The higher the indicator, the lower the burden.
Market volume points
0
A rough estimate of this jurisdiction's retail crypto market relative to the rest of the world. The higher the indicator, the higher the market potential.
Status of crypto
No info
General status of cryptocurrency regulation in this jurisdiction.
Crypto payments
No info
The legal status of cryptocurrency payments for goods and services in a given country based on information from regulators, public data and feedback from our community.
Security Level
Minor danger
The overall level of security in a given country based on open data.
Crypto Salaries
No info
The legal status of cryptocurrency salaries to employers in a given country based on information from regulators, public data and feedback from our community.
Business Climate
No info
Overall assessment of the friendliness of this country for crypto-business. This indicator takes into account the cost of obtaining a license and the attitude towards crypto entities in the country.
Stablecoin Regulation
No info
This indicator is evaluating the regulation of stablecoins in a given country. Complex regulation means that it is possible to issue steiblcoins and obtain a license for this activity. Basic regulation means that the issuance of stablecoins is possible, but not all legal aspects are defined in the law. Standard regulation means that there is a legal practice of steylcoin circulation in a given country.
Bad Factors
No
This section describes the unfavorable economic factors for crypto-business in a given country. These are countries that are under sanctions or on the FATF grey list and other factors.
Types of licenses
No licenses exist
Good
Medium
Bad
intro

This is general info about crypto regulation in the Federated States of Micronesia. A more precise overview will be published later. However, if you find any inaccuracy or have other feedback - please write us in telegram @ilya_ii or by e-mail - editor@cryptopenetration.com

The Federated States of Micronesia is a country spread across the western Pacific Ocean comprising more than 600 islands. Micronesia is made up of 4 island states: Pohnpei, Kosrae, Chuuk, and Yap. This country has a population of 104,000 people and an area of 702 km2.

The FSM adopted its constitution and became an independent country in 1979; it entered into a Compact of Free Association with the United States in 1986 and became a member of the United Nations in 1991. The first financial package of the Compact covered 15 years, from 1986 to 2001 according to the US Department of Interior (1).

Citizens of the RMI or FSM are not citizens or nationals of the United States. Citizens of the FSM and RMI by birth and those citizens of the former TTPI who acquired FSM or RMI citizenship in 1986 are entitled under the Compacts to travel and apply for admission to the United States as nonimmigrants without visas based on Wikipedia (2).

All visitors arriving in the Federated States of Micronesia must have a valid passport or other travel document issued by the government of the country of citizenship or nationality. The document must be valid for at least 120 days beyond the date of entry according to Wikipedia (3).

It is quite difficult for a foreigner to obtain Micronesian citizenship. To do this, the president himself must issue a decree allowing a citizen of another country to become a citizen of the FSM. However, a newly minted citizen of Micronesia must renounce his previous citizenship within 3 years, according to Wikipedia (4).

Security level

The Federated States of Micronesia has a minor danger security level according to our rating. The homicide level (5) is 0.9 per 100,000 inhabitants a year. 

Crypto Payments

The legal tender of the Federated States of Micronesia shall be the coins and currencies of the United States; provided, however, no restriction shall be made on the use of local forms or barter and exchange in transactions among citizens of the Federated States of Micronesia based on FSMlaw (6). That’s why crypto payments probably are legal as a form of barter transaction in the country.  

Crypto Salaries

No regulation.

Legal

Based on Mike Gingerich (7) there is still no crypto regulation in Micronesia. If you have more details on this case, please contact us.

Taxation

The personal income tax rate is 10%, and the corporate tax rate is 21% according to Global Expansion (8).