%201.svg)
Is it Legal to Buy Crypto in Mexico?
Yes, it is legal to buy and own cryptocurrency in Mexico. In March 2018, the Mexican government passed legislation recognizing cryptocurrencies as a form of property, and the Mexican Central Bank has issued guidelines for financial institutions that wish to offer cryptocurrency-related services. However, it is important to note that cryptocurrencies are not considered legal tender in Mexico, meaning that they are not recognized as a means of payment by the Mexican government.
How to buy Bitcoin and Crypto in Mexico
As outlined above, the best way to buy digital assets like Bitcoin and Ethereum in Mexico is with a licensed and regulated crypto exchange. Our recommended platform for investors is Bybit because they offer instant and free MXN deposits to trade 400+ cryptocurrencies. They provide a wide variety of deposit methods for Mexicans that includes Bank Transfer, Debit Card, Credit Card, PayPal and much more.
You can follow this simple 4 step guide to get started:
- Sign Up: Create an account on Bybit and complete the verification process.
- Deposit MXN: Click 'Buy Crypto', then 'One Click Buy', pick Mexican Peso (MXN) as your currency and any of the available deposit methods.
- Select Crypto: Select the Crypto you want to buy to onboard onto the platform. We recommend USDT which can be used to trade against 400+ coins on the exchange.
- Execute Trade: Review your trade details and execute your transaction.
.webp)
What are the Fees to Buy Crypto?
When you buy cryptocurrencies through a cryptocurrency exchange, you will typically be charged two fees, the deposit & trading fee. Most exchanges will charge around $10USD to deposit funds and some exchanges like eToro charge 1% in trading fees. However on Bybit the fees are virtually non-existent.
This is because Bybit is currently offering zero trading fees to buy cryptocurrencies. There are fees to trade futures but to invest in crypto it is completely free. Additionally, there are no fees to deposit or withdraw from the Bybit platform. You can visit Bybit's fees here.
How is Crypto Taxed in Mexico?
In Mexico, cryptocurrency is considered property for tax purposes. As such, any gains or profits made from buying and selling cryptocurrencies must be reported as capital gains on an individual's tax return. If an individual holds cryptocurrencies for less than a year, the gains are taxed as short-term capital gains and are included in their taxable income. If an individual holds cryptocurrencies for more than a year, the gains are taxed as long-term capital gains and are subject to a lower tax rate.
In addition to capital gains taxes, cryptocurrency transactions may also be subject to value-added tax (VAT) in Mexico. However, there is currently some uncertainty and conflicting guidance from Mexican tax authorities regarding the application of VAT to cryptocurrency transactions.
Final Thoughts
In conclusion, buying and owning cryptocurrencies in Mexico is a legal and viable option for investors looking to diversify their portfolios. By using a regulated exchange like Bybit, investors can easily and safely purchase a wide range of digital assets, with low fees and a variety of deposit methods. It's important to keep in mind that profits from cryptocurrency transactions are subject to capital gains taxes and may also be subject to VAT, although there is currently some uncertainty surrounding the latter.
Overall, buying cryptocurrencies in Mexico can be a smart investment choice, but it's essential to do your research, understand the risks involved, and consult with a tax professional for the latest guidance and information on the tax implications.
