Crypto Regulations in Mexico 2025

Mexico is one of the first countries in Latin America to enact laws regulating financial technological institutions, also known as fintech law. With no specific cryptocurrency law, Mexico continues to evolve its regulatory systems in 2025, impacting financial institutions and individuals in the crypto space. Since 2018, the Mexican government has legalized virtual assets, including cryptocurrency, through the Fintech Law. 

Overview of crypto regulations in Mexico

Date	Law/ Regulation	Details
July 11, 2024	Creation of ‘Digital Agents’	Establishing a new type of banking to publicly offer
February 2024	Bitso proposal	Bitso contributes in shaping the regulatory landscape of digital assets
June 7, 2023	National Code of Civil and Family Procedures	Local government will fully adopt the code by April 1, 2027
April 2022	Peso Digital Currency	Banxico to soon implement peso digital currency as part of long-term payment strategy
February 2022	Bill to create Central Bank Digital Currency (CBDC)	Senator Kempis set to make Bitcoin legal tender
August 2021	Tightening of AML regulations	Ensuring compliance with the anti-money laundering legal framework
June 2021	Reiterating, crypto is not legal tender	The finance minister warned that crypto is not legal tender, and local financial institutions are not authorized to operate virtual assets
July 2019	New rules for Fintech Law	New rules were introduced for robust crypto regulations
March 2019	Circular 4/2019	Banxico prohibits banks from directly dealing with virtual assets
September 2018	Blockchain to track public bids	Blockchain-based project to reduce corruption in bidding for government contracts
March 9, 2018	Fintech Law passed	Financial entities, including digital assets, can be authorized by Banxico
December 2017	Proposal of fintech law	The government announced its plan to introduce a fintech law
March 2014	Banxico issued a warning	Banxico warns about the risks of virtual currencies

What is the Mexican government saying about crypto?

The Bank of Mexico is the primary regulator of crypto in the region; Currently, it is focusing on maintaining digital asset transactions and ensuring AML compliance. 

Digital currency:  

• Banxico is actively working on the development and implementation of digital currency in the country, which is expected to be released by the end of 2025.

• This approach aims to expand financial inclusion by providing access to digital payment methods for individuals who are unable to access traditional ones.

Innovation and Stability: 

• Mexico is set to evolve its financial regulatory framework and integrate it with technology to explore digital currency and blockchain applications. It is also ensuring the safety and transparency standards for consumers to balance stability with innovation.

Crypto Tax in Mexico

Mexico does not have any specific crypto laws, therefore, the general national tax law applies to it. In 2021, the Mexican tax Ombudsman confirmed that profits from crypto should be treated as income from the sale of goods. 

• Income tax: Selling crypto for profit in Mexico is equated with selling any assets for profit. Thus, it is subject to income tax up to 35% for individuals and 30% for legal entities.

• VAT: Provisioning services or the sale of goods in exchange for crypto triggers VAT; 16% VAT is required, depending on the classification of the transaction.

• Large transaction: If the crypto transaction exceeds US$12,500, the buyer is required to withhold 20% and pay directly to the tax authority.

• Digital platforms facilitating crypto transactions may be required to withhold the tax on behalf of the user.

Crypto adoption rate in Mexico

• Users: It is expected that during 2025, Mexico’s cryptocurrency market will reach $985.5 million, crossing the rate of 15 million crypto users in the region.

• Age ratio: The total population of Mexico is 129.7 million, among which 37% of crypto investors are aged 25-34, and 22% for the rest of the age group. A report released in March reveals that 74% of crypto users in Mexico are men.

• Penetration rate: The estimated under penetration is expected to reach 12.93% and is anticipated to grow up to 9.80% by 2033.

• Crypto holdings: It is not disclosed yet; the Mexican government prioritizes releasing a government-backed digital currency (CBDC).

Endnote

Mexico is one of the countries in Latin America that is currently focusing on enhancing the regulatory landscape for cryptocurrency and digital assets in the region. I believe if Mexico maintains this stability of cryptocurrency with the legal framework and boosts the security regulations, then in no time, it will be posing as a crypto hub in the global landscape.

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