Montenegro does not yet have a single, comprehensive “Digital Assets Law.” However, crypto activity is not prohibited, and the country has taken steps to regulate crypto service providers through anti-money laundering (AML) amendments.

What this means in practice:

• Crypto is not official currency

• It is generally treated as a transferable asset

• Banks apply strict source-of-funds controls

• Crypto businesses must consider AML registration and compliance obligations

So yes — crypto can function in Montenegro. But it must be structured properly.

Everything begins with tax residency.

You are generally considered a Montenegrin tax resident if:

• You spend more than 183 days in Montenegro within a calendar year, OR

• Montenegro becomes your center of personal and economic interests

If you are tax resident, Montenegro may tax your worldwide income depending on its classification.

Important distinction:
Legal residency (temporary residence permit) and tax residency are not automatically the same. Many expats confuse the two.

Montenegro does not have a special “crypto tax.” Instead, crypto transactions are analyzed under existing tax rules.

1. Holding Crypto

Simply holding crypto without selling or exchanging it generally does not trigger taxation.

Tax events occur when you realize gains.

When crypto is sold or exchanged at a profit, it is typically treated under capital gains taxation.

For individuals, capital gains are generally taxed at 15%.

Your taxable gain is usually calculated as:

Sale Price – Acquisition Cost = Taxable Gain

Documentation is critical:

• Purchase price

• Date of acquisition

• Date of disposal

• Exchange records

• Wallet history

These activities may not qualify as simple capital gains.

Depending on structure and frequency, they may be treated as:

• Other income

• Business income

• Self-employment income

If activity is systematic or profit-driven, tax authorities may view it as business activity rather than passive investment.

This is where professional structuring matters.

If crypto activity is conducted through a Montenegrin company:

Corporate profits are taxed progressively:

• 9% on lower profit thresholds

• 12% mid-range

• 15% on higher profit brackets

Crypto trading profits generally form part of corporate taxable income.

If you are actively trading, mining at scale, or operating crypto infrastructure, a corporate structure may be more appropriate than individual classification.

Crypto itself is generally treated similarly to financial transactions and is not subject to VAT in the same way goods or services are.

However:

If you use crypto to purchase goods or services, VAT still applies to the underlying product or service.

Businesses accepting crypto must still maintain proper EUR accounting and compliance documentation.

Crypto is not legal tender in Montenegro.

Most compliant structures involve:

• Issuing invoices in EUR

• Accepting crypto through a processor or conversion platform

• Converting to EUR for accounting purposes

If you operate a company, bookkeeping must reflect compliant EUR accounting.

Montenegro participates in the Common Reporting Standard (CRS) framework.

This means financial institutions may exchange information with other participating jurisdictions.

Important takeaway:
Montenegro is not a secrecy jurisdiction. Planning must be compliance-first, not avoidance-focused.

Where many crypto holders encounter issues is not tax — it is banking.

Montenegrin banks may request:

• Exchange transaction history

• Wallet statements

• Proof of original source of funds

• Explanation of trading activity

• Tax compliance confirmation

Large transfers without documentation can trigger delays or account scrutiny.

Preparation matters.

Montenegro has introduced crypto-related oversight primarily through amendments to anti-money laundering laws.

If you operate:

• An exchange

• A brokerage

• A custody service

• A crypto payment solution

• Any crypto facilitation service

You must evaluate AML registration and compliance obligations carefully.

Crypto businesses require structured compliance from day one.

If you are relocating to Montenegro with crypto, prepare:

• Complete exchange history

• Wallet transaction logs

• Cost basis calculations

• Evidence of original funding source

• Consistent narrative across tax filings and banking documentation

• Clear understanding of your tax residency status

Do not wait until after transferring funds to prepare documentation.

Montenegro can be a strong jurisdiction for lifestyle, residency planning, and structured wealth management.

But crypto holders need to approach it strategically:

• Understand residency triggers

• Classify activity correctly

• Prepare documentation

• Align banking and tax strategy

• Build compliance before transactions

Done properly, Montenegro can offer clarity and efficiency.

Done casually, it can create unnecessary risk.

If you are planning to move to Montenegro with cryptocurrency — or already living here and unsure about your tax exposure — the smartest step is a structured review before making financial moves.

Relocation Montenegro assists with:

• Residency strategy aligned with tax positioning

• Banking preparation and documentation strategy

• Company setup for crypto entrepreneurs

• Compliance structuring

• Cross-border coordination

Book a paid consultation to review your exact situation and design a compliant plan tailored to your goals.

Your move should be strategic — not reactive.