In the archipelago of Puerto Rico, rich American bitcoins are increasingly choosing to settle there because of the favorable tax rates prevailing there. Why is this so interesting to Americans?
If they stay in Puerto Rico for at least six months of the year, they will pay zero tax on the income for their property without relinquishing US citizenship.
Many big names go to Puerto Rico
The popularity of the tax haven is growing among Americans, and among others, YouTuber, who can now also call himself a boxer, settled on the island this year with Local Paul.
Paul rents a house on the island, for which he pays $ 55,000 a month. A shelter is a decent investment, but he could probably do without it.
This was a major motivation for him to move to Puerto Rico, especially since he did not have to pay wealth taxes on the island. “In Puerto Rico, you’re motivated to do more and make more money because of the impact,” Paul said.
Over the years, many bitcoin-related businesses have established themselves in Puerto Rico. This includes the hedge fund Pantera Capital, which was originally based in New York.
Puerto Rico hopes to attract more entrepreneurs and the rich
The Puerto Rico Blockchain Trade Association will host the first edition of the Puerto Rico Blockchain Week in December this year. This week’s goal is to get more Bitcoin millionaires and investments to the island.
“We try to connect entrepreneurs with communities in Puerto Rico to teach them about the opportunities in the crypto industry,” said Keiko Yoshino, president of the Puerto Rico Blockchain Trade Association.
The capital migration that “crypto” brings to Puerto Rico not only boosts the country’s economic growth, but also harms local people. For example, real estate projects such as Puertopia are causing house prices to rise in San Juan.
However, Puerto Rico is not the only place where people leave due to favorable tax rates. Other popular destinations include Switzerland, the Cayman Islands and Malta. Portugal puts itself high on the map as a popular destination for bitcoins with all sorts of initiatives.
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