Paraguay Tax Authority Implements Crypto Tracking System

Paraguay's National Directorate of Taxes (DNIT) is now closely monitoring cryptocurrency activities, having established a mechanism to track who operates with crypto assets, the volume of transactions, and the specific wallets involved. The DNIT states its objective is not to restrict the use of cryptocurrencies but rather to gather information for detecting inconsistencies and strengthening fiscal oversight.

This initiative is formalized through General Resolution No. 47/2026, which mandates the declaration of crypto-asset operations. The first declaration will cover the 2026 fiscal year and is due in March 2027 via the Marangatu system. The resolution applies to owners, administrators, or those responsible for crypto-asset platforms operating in Paraguay.

“

The objective is not to set a limit on the use of cryptocurrencies, but to have information to contrast operations, detect eventual inconsistencies and strengthen oversight.

Individuals and entities in Paraguay conducting crypto operations exceeding $5,000 annually, whether in a single transaction or cumulatively, are also required to report. This obligation extends to operations conducted without intermediaries or through foreign platforms. The resolution encompasses a broad range of activities, including buying, selling, holding, exchanging, transferring, mining, staking, lending, and other forms of yield generation. The $5,000 threshold determines the reporting obligation, not an automatic tax liability.

The DNIT seeks detailed information beyond just transaction amounts. Declarations must include the date and time of each operation, the specific crypto assets used, the quantity traded, and the gross value in U.S. dollars, along with transaction fees and costs. Significantly, the DNIT can receive transaction hashes, origin and destination addresses, and the type of wallet used, enabling the tax authority to reconstruct the flow of transactions. The resolution also mandates the identification of parties involved whenever possible, or the reporting of public addresses, digital accounts, or smart contracts.

“

The $5,000 threshold is the parameter established to determine who is subject to the reporting obligation. It does not mean that upon exceeding that amount, tax must automatically be paid.