From Bitcoin to Passports: Why Crypto Investors Pursue Second Citizenship

citizenship

Most professionals in our investment migration industry understand that those who invest cryptocurrency overlap significantly with the high-net-worth citizenship-by-investment market.

The intersection between the two is no small group. And the trend is neither coincidental or slowing.

Below are three major reasons I believe cryptocurrency fanatics are also (and should also be) enthusiasts of a second passport

Belief That Things Are Headed in the Wrong Direction

JH Marlin has the unique privilege to work with hundreds of high-net-worth individuals every year. A common theme among these discussions (whether they lead to a second citizenship or residency or neither) is a shared concern:

Global economic and political trends are moving in an unfavorable direction toward instability and uncertainty.

This is not pessimism nor alarmism nor hyperbole. This sentiment is born out of fear.

To understand why this is, just observe what high-net-worth individuals and investor experience in the West:

  • Rising taxes
  • More regulations
  • Animosity toward the wealthy
  • Increased surveillance and government authority
  • Less privacy on an individual level

 

These trends are major red flags if they happen to encroach on your personal freedom. They should  be a sign of concern.

So why do investors turn to cryptocurrency as a safe haven?

Crypto, with its decentralized nature, offers high-net-worth individuals an alternative to manipulated monetary models.

Many in the space believe that the current models are fundamentally flawed and unsustainable. How long until one system self-implodes and causes a cascading domino effect across the world’s financial markets?

So cryptocurrency offers a refuge of self-preservation and solace from the overreach of any one government’s political or economic environment.

Do you see today’s system as volatile and uncertain too?

If so, a second passport can be a viable opportunity to diversify your financial future.

Just as cryptocurrency helps investors safeguard their assets from governments hellbent on confiscating them, dual citizenship (or a more diversified passport portfolio) ensures their personal freedom.

The most obvious benefit of a second citizenship is travel freedom. But to many investors, the diversification strategy is more about establishing a safety net in a state that treats them better – the ability to move their net worth, or at least diversify it away, from a single jurisdiction.

A passport portfolio represents insulation from geopolitical matters and acknowledgment that with more unpredictability every day, the smartest investment one can make is in their own security.

Desire for More Freedom and Control

For many crypto enthusiasts, cryptocurrency is more than an investment. It’s more than just wealth accumulation. It is more than just the ability to make financial decisions without interference.

Cryptocurrency is a declaration of their desire for more freedom, autonomy, and control over their own financial destiny.

This pursuit of freedom obviously transcends finance. These values embody a desire for self-determination and the power to make important decisions for themselves, unbothered by the institutional powers that be.

Investors could say the same about citizenship-by-investment. The parallel is stark.

Just as crypto offers investors independence from hyper-inflating or manipulated currencies, CBI programs offer high-net-worth individuals a form of jurisdictional independence. Dual citizenship is a means to circumvent the constraints and volatility of a single conventional system. A second citizenship opens borders and allows one to choose where they live, work, and travel based on the values that matter most to them.

A second passport represents a major upgrade in an investor’s freedom and optionality around the world. How?

  • Visa-free travel to more countries and territories
  • Potential tax reduction and optimization strategies
  • Improved lifestyle and quality of life
  • Access to more financial and investment markets
  • More anonymity, privacy, and security

 

Is the erosion of personal liberty a choice?

Cryptocurrency and second-citizenship investors believe so. The path to individual sovereignty and financial freedom is clear.

Forward-thinking, proactive individuals are opting out of the systems that supposedly exist to support their aspirations. The status quo is dead. The future is defined by freedom, prosperity, and security.

The cryptocurrency and investment migration ethos are undeniably similar – hence, the overlap in investor profiles.

Personal Privacy and Security

Your every online move is tracked and analyzed. Personal data is increasingly commoditized and vulnerable. And high-net-worth individuals’ wealth and status make them targets for data breaches, identity theft, and unwanted scrutiny.

So, as I mentioned above, the ability to protect and control one’s own data is invaluable.

Cryptocurrencies have promised enhanced privacy and security. Some blockchains offer encrypted, anonymous, masked transactions, which allow investors to move assets quickly and privately – while, of course, abiding my international financial and tax regulations.

And contrary to the popular belief that criminals use cryptocurrency to evade responsibility, anonymity helps investors safeguard their privacy and personal information.

This desire for confidentiality mirrors the benefits of a second passport.

With an array of citizenships in an investor’s portfolio, they are able to choose how and where their personal information is disclosed.

For example, they can select which of their passports to use when entering a country, investing in real estate, or opening a new trust or business.

The ability to navigate between identities is a powerful tool for anyone looking to maintain control over their personal data and financial privacy. And because privacy and data protection are often a primary focus for high-net-worth individuals, they appreciate this aspect of investment diversification.

Government surveillance and authority, aided by the internet, are on the rise. A passport portfolio is a insurance policy and Plan B when that surveillance encroaches on your personal security.

In a time when we are exploited for our personal data, both cryptocurrency and CBI programs serve as a hedge against the invasive practices of modern states and offer options to secure assets and personal freedom.

Unsurprisingly, many who are drawn to the revolutionary potential of crypto also see the value in investment migration.

So, What to Do with This Information

For those who resonate with these principles of self-preservation, self-determination, and security, the next step is clear:

Find a jurisdiction that upholds – and enhances – your values of privacy, security, and individual freedom, and make strategic investments there.

JH Marlin has worked with hundreds of crypto enthusiasts, including Roger Ver (aka Bitcoin Jesus) and Crypto Tips’s Heidi Chakos. And by far, they find the crypto-friendly, privacy-conscious citizenship-by-investment programs more appealing than others – even if the program is more costly than alternatives. They are drawn to those countries that provide a holistic environment supportive of their needs – including but not limited to open financial systems, robust privacy laws, and advantageous tax regimes.

These programs, including St. Kitts & Nevis, Antigua & Barbuda, and Malta, not only provide the lifestyle and mobility benefits that HNWIs seek, but also align with their financial sovereignty and personal freedom goals.

Imagine your ability to navigate borders both online and offline and approach life without fear of asset confiscation or personal threat. Jurisdictional arbitrage is possible.

But choosing to diversify one’s citizenship portfolio is an important step that requires expert guidance. International financial law, tax obligations, and digital currency regulation can be extremely complicated.

This is where we excel – at the intersection of cryptocurrency enthusiasm and citizenship-by-investment.

If you or a crypto investor you know is interested in diversifying their citizenship portfolio, contact us. JH Marlin can help you become more secure, private, and free.

Would you like to apply for obtain a second citizenship, move your assets to a crypto-friendly jurisdiction, and potentially reduce your tax liabilities? Or just explore your options? Our team of cross-functional experts have you covered.