Cryptocurrency in Chile

    Over the past decade, cryptocurrencies have become more widely used in Chile, starting as options for tech-savvy people and now being used by many. Public curiosity, government discussions and fintech innovations are helping Chile become a key crypto hub in Latin America.

    Important of Crypto in Chile

    Cryptocurrency is now a key part of Chile’s financial and technological world. Decisions like the 2018 Supreme Court ruling on closing crypto exchange accounts helped spark interest and debates about digital assets. The Fintech Law (Law No. 21.521) has helped Chile start organising the crypto sector and encourage new developments in finance.

    Target Audience

    This hub is designed for a wide range of readers, including:

    • Newcomers looking to understand how to buy, use, and secure crypto.
    • Investors evaluating opportunities in the Chilean crypto market.
    • Developers and entrepreneurs navigating the regulatory and technical landscape.
    • Policy observers and academics tracking Latin America's crypto evolution.

    Basic Scene

    Crypto adoption has risen in Chile, mainly among those who are interested in technology, early investors and small-scale merchants. As digital assets gain trust and people worry about inflation and how the financial system works, more individuals are choosing to use crypto for investments and as a new way to pay.

    Use Cases

    • Investment and trading via platforms like Buda.com and CryptoMKT
    • Remittances and cross-border payments, especially for freelancers and digital nomads
    • Hedging against fiat currency volatility, particularly among younger users
    • Merchant acceptance in limited but growing circles (e.g., tourism, online services)

    Key Trends

    • Legal clarity with the 2023 Fintech Law
    • Growing collaboration between banks and exchanges
    • Ongoing Central Bank Digital Currency (CBDC) exploration
    • High-profile bank account closures of crypto exchanges in earlier years that shaped regulation

    Overall Crypto Market

    Market Size & Growth

    • Revenue (2025): $558.6 million
    • Annual Growth Rate (2025): 4.5%
    • Users: Significant year-over-year growth, especially in younger demographics and tech-forward cities like Santiago

    Popular Cryptocurrencies

    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Litecoin (LTC)
    • Stablecoins (USDT, USDC) for payments and hedging

    Key Players

    • Local Exchanges: Buda.com, CryptoMKT, OrionX
    • Regional Platforms: Mercado Pago
    • Global Presence: Binance, Bit2Me, Coinbase offering limited services to Chileans
    • Government Entities: CMF, Central Bank of Chile

    Crypto Regulation in Chile

    Chile chooses a careful approach—while crypto is not accepted as legal money, it is still recognized as a digital asset in certain situations. Fintech innovation is supported by the government and at the same time, it ensures that consumer protection and anti-money laundering controls are in place.

    Legal Framework

    • Fintech Law (Law No. 21.521): Defines and regulates cryptoassets and related services
    • General Rule No. 502 (NCG 502): Governs the registration and authorization of crypto service providers
    • CMF & Central Bank: Primary regulators overseeing crypto services, payments, and emerging stablecoin use

    Recent Developments

    • Registration requirement for crypto service providers began in February 2024
    • Introduction of clear AML/KYC obligations for exchanges
    • Ongoing development of stablecoin-specific regulations
    • Enhanced consumer protections and bank access for regulated entities

    Potential Future Regulations

    • Full guidelines for stablecoin issuance
    • Finalization of CBDC research and potential pilot programs
    • Expansion of tax enforcement for crypto gains and services

    Crypto Exchanges & Platforms in Chile

    Top Crypto Exchanges

    • Buda.com
    • CryptoMKT
    • OrionX
    • Binance (limited access)

    Local Platforms

    • Platforms like Bit2Me are expanding in Chile, offering services in Spanish, integration with local banks, and full crypto functionality (buy/sell, custody, debit cards)

    User Experience

    • Bank transfers, card deposits
    • Competitive fees (0.5%–1.5%)
    • Strong onboarding and verification systems
    • Localized mobile apps and web platforms

    Regulatory Impact

    Only CMF-registered and authorized platforms can operate after February 2024. Unregistered operators face suspension and are barred from offering services until compliant.

    Cryptocurrency Wallets in Chile

    Types of Wallets

    • Hot wallets: Provided by exchanges like Buda and Bit2Me
    • Cold wallets: Hardware devices like Ledger and Trezor
    • Software wallets: Trust Wallet, MetaMask, and mobile apps

    Wallet Adoption

    Global wallets dominate usage, especially among experienced users. However, exchanges like CryptoMKT offer beginner-friendly integrated wallets with KYC-compliant onboarding.

    Security Concerns

    • Phishing scams and fake exchange websites have been reported
    • Regulatory emphasis on cybersecurity (e.g., ISO 27001 compliance for service providers)
    • CMF requires internal audits and security protocols for licensed firms

    Wallet Providers

    • Global: MetaMask, Trust Wallet, Ledger, Trezor
    • Local/Integrated: Buda.com Wallet, CryptoMKT Wallet, Bit2Me Wallet

    Crypto Taxation in Chile

    Tax Regulations

    • Individual Investors: Profits are taxed under Global Complementary or Additional Tax
    • Legal Entities: Profits fall under First Category Tax
    • Service Providers: Must apply VAT on commissions

    Reporting Requirements

    • Exchanges must submit Annual Affidavit No. 1891
    • Businesses must comply with standard tax reporting, invoicing, and recordkeeping

    Tax Rate

    Tax rates vary based on income and business structure. There is no specific crypto tax rate; general tax brackets apply.

    Challenges

    • Ambiguities in how staking/yield is taxed
    • Limited clarity on treatment of NFTs
    • Ongoing evolution of enforcement and tracking tools by tax authorities

    Crypto Community & Education in Chile

    Crypto Awareness & Adoption - Public interest is growing, particularly among younger, digitally literate demographics. Media coverage and fintech adoption have increased public understanding.

    Crypto Events and Conferences - Local meetups in Santiago

    • Fintech and innovation forums occasionally include crypto topics
    • Participation in international seminars (e.g., Metaverse seminar in March 2023)

    Educational Resources

    • CMF & Central Bank reports
    • Bit2Me Academy (Spanish)
    • International platforms: Coursera, Binance Academy, and CryptoZombies (for developers)

    Notable Figures

    • Founders of Buda.com and CryptoMKT
    • University researchers involved in blockchain innovation
    • Politicians involved in digital economy regulation

    Crypto’s Future in Chile

    Growth Projections

    With a current market size of $558.6M and expected continued growth, Chile's crypto landscape shows strong long-term potential.

    Government Support or Challenges

    • Supportive: New legal frameworks, push for financial inclusion
    • Challenging: Slow-moving regulation, concerns about bank access, and taxation complexity

    Tech Development

    • The Santiago Stock Exchange is using blockchain technology
    • The Central Bank is still working on developing a CBDC
    • More attention is being given to tokenization and decentralized finance (DeFi)

    Frequently Asked Questions (FAQs)

    1. What are the first steps to trading cryptocurrency in Chile?

    You can begin by using Buda.com, CryptoMKT or a worldwide platform like Bit2Me for your transactions. You have to go through identity verification (KYC), deposit your funds by bank transfer or card and then you can start trading right away.

    2. Is it allowed to use cryptocurrency in Chile?

    It is legal to own, trade and use cryptocurrencies, but they are not regarded as legal tender. They are regulated by the Fintech Law and all service providers must sign up with the Financial Market Commission (CMF) and follow AML and tax rules.

    3. Is it required to pay taxes on crypto earnings in Chile?

    Yes, making money through buying and selling crypto is subject to taxes. People are required to pay personal income tax, and service providers must add VAT to their commissions. All your earnings must be reported to the SII (Chile’s tax authority).

    4. Are NFTs treated differently from other cryptoassets?

    NFTs are not explicitly regulated in Chile yet. However, depending on how they're used (e.g., collectibles vs. financial instruments), they may fall under existing digital asset or commercial laws.

    5. Is it possible to use cryptocurrency for normal purchases in Chile?

    Yes, but only if both parties agree. Crypto is not legal tender, but it can be used as a means of exchange, especially in e-commerce, digital services, and tourism sectors.

    6. Is staking allowed in Chile?

    Staking is allowed and commonly practiced by Chilean users. However, it is not yet specifically regulated, and there is uncertainty around how it’s taxed, especially when earnings are generated through yield-bearing protocols.

    7. Can foreign crypto platforms offer services to users in Chile?

    Yes, but if they actively solicit Chilean users, they may need to comply with local laws, including registration and tax obligations. Reverse solicitation (user-initiated) is generally allowed with fewer requirements.

    8. What dangers do I need to watch out for when trading crypto in Chile?

    Risks in any country can be market volatility, scams and phishing attacks. People should use regulated trading sites, turn on two-factor authentication and never share their private wallet details.

    9. Are Chilean banks open to crypto?

    Banco de Crédito e Inversiones is one of the banks that cooperates with crypto exchanges. Banks are now required to give non-discriminatory access to fintechs that meet all the necessary legal and security requirements.

    10. Is the government of Chile considering the use of a Central Bank Digital Currency (CBDC)?

    Yes, the Central Bank of Chile has released two reports about the possibility of a CBDC. Even though a launch date has not been set, the main aim is to bring updates to the payment system and increase financial inclusion.