Yes, Bitcoin is legal in Iceland. The country’s government has not placed any restrictions on the use or trade of Bitcoin. In fact, the government has actively worked to promote the use of Bitcoin and blockchain technology within the country. In 2016, the government even created a task force to explore how blockchain could be used to help boost the economy.
While there are no specific lAWS or regulations surrounding Bitcoin in Iceland, the country does have lAWS and regulations in place for other financial activities. These lAWS and regulations could potentially be applied to Bitcoin as well, depending on how the government chooses to interpret them.