Country overview

Cryptocurrencies is legal in North Macedonia. The country is located on the Balkan Peninsula on the border with Greece and Albania, and only 1.2% of the population owns crypto assets. There is a basic AML legislation for crypto. However, most crypto operations in the country are limited or restricted. 

  North Macedonia has a minor danger security level according to our rating. Jurisdiction has 59.3 points (from 100) for safety level in Numbeo crime rating (1). The homicide level (2) is 0.9 per 100,000 inhabitants a year. Level of firearm-related death (3) 0.76 per 100,000 inhabitants a year.  

According to the position (4) of People’s Bank of Macedonia crypto assets can’t be used for payments:

“Crypto-assets are not a legal means of payment in our country, that is, it is not allowed to pay with crypto-assets. According to the existing regulation, payments can be made in the domestic currency - the denar. Non-cash payments in the country are made in denars through the transaction account of the participants in the payment circulation in the country”.

We do not have reliable information about the payment of wages in cryptocurrencies in North Macedonia. If you have this information, please contact us.

  On 1 February 2022, the Government of North Macedonia adopted (5) the AML and CTF Draft Law with amendments regarding cryptocurrencies. The legal solution of the AML and CTF Draft-Law defines the terms "virtual assets" which fall under the definition of "property", "virtual asset service providers", "virtual wallets", "cryptocurrencies" and other related terms of the crypto sphere.    

On 1 February 2022, the Government of North Macedonia adopted (5) the AML and CTF Draft Law with amendments regarding cryptocurrencies. The legal solution of the AML and CTF Draft-Law defines the terms "virtual assets" which fall under the definition of "property", "virtual asset service providers", "virtual wallets", "cryptocurrencies" and other related terms of the crypto sphere.

The AML and CTF Draft-Law will also set obligations upon the providers of services related to virtual assets for the prevention of money laundering and financing of terrorism, control mechanisms in case of potential misuse of virtual or crypto funds, and trading of virtual assets in cash in the amount of up to EUR 500 in MKD equivalent will be allowed.

Currently, the National Bank does not have (6) the authority to regulate the creation, possession, or trading of crypto-assets by domestic economic agents. It does not have any supervisory role in crypto-assets, regardless of whether they are acquired through a process of the so-called. "mining" or investing in them.

At the same time, the National Bank currently has no activities for the issuance of its digital currency (digital denar). The National Bank issues the denar as a sovereign currency in the Republic of North Macedonia and by constantly fulfilling its main goal - maintaining price stability, it directly enables the Macedonian denar to possess the three characteristics of a sovereign currency - a medium of exchange, a unit of account and a custodian of value.

The Liberal Democratic Party (LDP) and the Democratic Renewal of Macedonia (DOM) announced (7) that taking into account the energy crisis and the consequences on the environment in North Macedonia, through its MPs in the Parliament they will request legal amendments on the mining of cryptocurrencies.

“During an energy crisis, it is inadmissible to waste electricity on cryptocurrencies for personal enrichment. Since the cryptocurrencies are declared as unacceptable for the environment, the MPs will also be requesting legal regulation since the use of electricity from fossil fuels such as the current case, is polluting the environment,” said the coalition partners LDP and DOM.

They also said that they will be consulting the experts and no later than a week from they will ask for regulation and will submit legal amendments.

  The headline PIT and CIT rates are 10% based on PWC taxsummaries (8). Capital gains are part of the regular profit for the year and, thus subject to the normal CIT and PIT rates (10%).

1)👉🏻Crime Index by Country 2023 Mid-Year

2)👉🏻List of countries by intentional homicide rate

3)👉🏻List of countries by firearm-related death rate

4)👉🏻Is it possible to pay with crypto-funds in the Republic of North Macedonia? FAQ

5)👉🏻Global FinTech Guide, North Macedonia. Article

6 and 7)👉🏻Two political parties in North Macedonia want tighter regulation for cryptocurrency mining. Article

8)👉🏻PWC Taxsummaries. North Macedonia