Stablecoin issuer / redeemer in North Macedonia

Legislation: The primary legislation governing payment services and e-money is the Law on Payment Services and Payment Systems (Закон за платежни услуги и платни системи).

Classification: Cryptocurrencies, including stablecoins, are not classified as e-money under the current Law on Payment Services and Payment Systems. The NBM has explicitly stated that cryptocurrencies are not legal tender and do not represent e-money as defined by existing regulations. The definition of e-money typically requires issuance by an authorized e-money institution and specific features not generally met by decentralized stablecoins.

Classification: Stablecoins could potentially be classified as securities on a case-by-case basis if they exhibit characteristics of investment contracts, shares, bonds, or other financial instruments as defined by this law. This would depend on their structure, redemption rights, and whether they offer any expectation of profit from the efforts of others. However, there is no broad, explicit classification of all stablecoins as securities.

No Specific Requirements: Since stablecoins are not specifically regulated or classified as e-money or securities in a general sense, there are no specific reserve requirements imposed by North Macedonian law for stablecoin issuers.

No Specific Licensing: There is no specific licensing regime for stablecoin issuers in North Macedonia.

If a stablecoin were to be deemed:

E-money: An e-money institution license would be required from the NBM under the Law on Payment Services and Payment Systems.

A Security: The issuer would need to comply with capital market regulations, including prospectus requirements and potentially licensing as an investment firm, overseen by the SEC.

However, operating as a stablecoin issuer per se, without fitting into existing regulated categories, does not require a specific license, but it also means operating outside the regulatory framework and consumer protection.

No Regulatory Guarantees: As stablecoins are not regulated under a specific framework, there are no legally guaranteed redemption rights under North Macedonian law.

Redemption rights would be solely dependent on the terms and conditions set by the stablecoin issuer, which users would agree to when acquiring the stablecoin. The enforceability of these contractual rights would fall under general contract law, but without a specific regulatory framework, consumer protection is limited.

Future Outlook (MiCA): When North Macedonia aligns with MiCA, asset-referenced tokens (ARTs) and e-money tokens (EMTs) will have stringent reserve requirements, including backing with highly liquid assets, segregation of assets, and regular audits.

Exchanges (Virtual Asset Service Providers - VASP):

Requirement: Mandatory registration with the Financial Intelligence Unit (FIU) under the LPMALTF.

Law on Prevention of Money Laundering and Terrorist Financing

Regulating Authority: Financial Intelligence Unit (FIU) of North Macedonia (Управата за финансиско разузнавање - УФР) is the primary authority for VASP registration and AML/CTF supervision.

Criminal investigations and prosecutions by law enforcement (Ministry of Interior, Financial Police, Public Prosecutor's Office) targeting activities such as fraud, money laundering, or illegal electricity usage for crypto mining.

Taxable Event: The disposal of cryptocurrency (e.g., selling for fiat currency, exchanging for other cryptocurrencies, or using crypto to purchase goods/services) that results in a gain.

Corporate Entities: Businesses that engage in cryptocurrency-related activities (e.g., crypto exchanges, payment processors, mining farms, trading firms) will have their profits from these activities included in their overall taxable profit.