Crypto mining regulations

Is crypto mining regulated in Singapore?


"There is no legislation in the Republic of Singapore that specifically relate to the mining of Bitcoin and other cryptos, although mining of cryptocurrency and Bitcoin in Singapore is not illegal.

However, as the cost of energy and space in Singapore is relatively high compared to neighboring countries, the prevalence of mining crypto in Singapore has decreased over time.

Crypto miners in Singapore must pay taxes on profits derived from the activity. The IRAS states that profits coming from operations that mine/trade virtual asset in exchange for money are also subject to tax. How much? The Income Tax Act (ITA) stipulates a 17% tax rate on net profit."

Source: Coinfirm, last revised 14 January 2021


"There are no regulations specifically governing the mining of cryptocurrency in Singapore."

"However, miners should be aware of tax liabilities arising from income from mining [...]. The Inland Revenue Authority of Singapore has noted that profits derived by businesses which mine and trade virtual currencies in exchange for money are subject to income tax."

"Miners should also be aware of potential SFA or Commodities Trading Act regulation should they run a collective mining pool that aggregates and distributes returns as a result of mining operations. This may be seen as operating a collective investment scheme or a commodities pool."

Source: Chambers and Partners, last revised on 8 May 2022


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