Czechia: technology regulation at a glance

Framework: EU Regulation 2023/1114 (MiCA) + Czech Act No. 31/2025 Coll. on the Digitalisation of the Financial Market (Digital Finance Act, in force 15 Feb 2025); supervised by the Czech National Bank (CNB), with AML/CFT under the Czech AML Act (No. 253/2008 Coll.) and the Financial Analytical Office (FAÚ)

Czechia is an EU member state where crypto-assets are legal and now comprehensively regulated under MiCA, transposed via the Digital Finance Act (Act No. 31/2025 Coll.) in force since 15 February 2025. The Czech National Bank is the competent authority for crypto-asset service provider (CASP) authorisations, white-paper notifications and stablecoin issuer supervision, and issued its first six CASP authorisations on 11 February 2026 out of 248 applications received. AML/CFT compliance is supervised by the FAÚ, and a 2025 tax reform exempts long-term crypto holdings (>3 years) from personal income tax up to CZK 40 million.

Framework: EU AI Act (Regulation 2024/1689, directly applicable); national implementing Act on Artificial Intelligence (draft approved by Czech Government 28 May 2025, pending Parliament); coordinated by Ministry of Industry and Trade (MPO); Czech Telecommunications Office (CTU) proposed as primary market surveillance authority

The EU AI Act applies directly in Czechia as of August 2024 with phased obligations. The Czech Government approved a draft national Act on Artificial Intelligence on 28 May 2025 to designate competent authorities, establish a regulatory sandbox, and set penalties; this draft is awaiting parliamentary adoption, expected no later than 2 August 2026. Czechia also holds an approved National AI Strategy 2030 (July 2024) setting strategic priorities across research, education, ethics, and public administration.

Framework: GDPR (Regulation (EU) 2016/679) directly applicable, supplemented by Act No. 110/2019 Coll. on Personal Data Processing (national adaptation law); supervised by the Office for Personal Data Protection (Úřad pro ochranu osobních údajů, UOOU)

Czechia operates under the EU's GDPR as directly applicable law, with Act No. 110/2019 Coll. serving as the national adaptation statute that replaced the former Act No. 101/2000 Coll. and implements GDPR derogations, the Law Enforcement Directive (2016/680), and the PNRD. The independent supervisory authority is the UOOU (uoou.gov.cz), which is a full member of the European Data Protection Board and carries active enforcement powers including significant fines.

Framework: Act No. 370/2017 Coll. on Payment Systems (implementing PSD2/EMD2), supervised by the Czech National Bank (CNB); supplemented by Decree No. 1/2022 Coll. (as amended by Decree No. 197/2025 Coll.) on licensing applications

Czechia has a comprehensive, fully operative licensing regime for payment institutions and electronic money institutions under Act No. 370/2017 Coll., which transposed PSD2 and EMD2 into national law, with the Czech National Bank (CNB) as the sole competent supervisory authority. The CNB maintains a public register of all authorised and registered payment service providers, actively supervises the sector, and has been revoking dormant licences to maintain market quality. Upcoming EU frameworks, PSD3/PSR (agreed November 2025) and the EU Instant Payments Regulation (2024/886), will require further national legislative amendments in 2026-2027.

Framework: Government Resolution No. 475 of 28 June 2023 (Digital Nomad Program); Act No. 326/1999 Coll. on the Residence of Foreign Nationals; implemented by Ministry of Industry and Trade (MPO) / CzechInvest agency

Czechia launched a dedicated Digital Nomad Program on 1 July 2023 under Government Resolution No. 475/2023, offering fast-tracked long-term visa processing for IT and (from February 2025) marketing professionals from 12 designated non-EU countries to live in Czechia while working remotely for foreign employers or as freelancers. The initial visa is valid for one year and converts to a two-year long-term residence permit; all other third-country nationals retain access to a parallel Živno (self-employed / doing business) long-term visa pathway open to all nationalities. EU/EEA/Swiss nationals exercise free movement rights without any visa requirement.

Framework: EU Digital Services Act (Regulation 2022/2065), directly applicable; Czech Telecommunications Office (CTU) designated as Digital Services Coordinator; Draft Digital Economy Act (Bill 776) pending in Czech Chamber of Deputies

Czechia is bound by the EU Digital Services Act as directly applicable EU law, and the Czech Telecommunications Office (CTU) has been formally designated as the national Digital Services Coordinator. However, Czechia has failed to empower the CTU with the investigative and enforcement powers required under DSA Articles 51-52, and has not enacted national penalty rules, prompting the European Commission to refer Czechia to the Court of Justice of the EU in April 2026. The national implementing Digital Economy Act, which would remedy these gaps and also partially transpose the Data Governance Act, passed its second reading in the Chamber of Deputies in March 2025 but was not yet in force as of May 2026.

Framework: Act No. 264/2025 Coll. on Cybersecurity (Zákon o kybernetické bezpečnosti), in force 1 November 2025, transposing EU NIS2 Directive (2022/2555); supervised by NÚKIB (National Cyber and Information Security Agency)

Czechia enacted a new, standalone Cybersecurity Act (No. 264/2025 Coll.) that entered into force on 1 November 2025, replacing the prior cybersecurity regime and fully transposing the EU NIS2 Directive. The law significantly expands the scope of regulated entities across 15 sectors, establishes a two-tier classification (essential / important entities), and imposes risk-management, incident-reporting, and supply-chain obligations enforced by NÚKIB. Some secondary implementing regulations (e.g., on essential functions and strategically significant services) remained pending into 2026.

Framework: Act on Business Corporations No. 90/2012 Coll. & Public Registers Act No. 304/2013 Coll.; Commercial Register administered by Ministry of Justice (or.justice.cz); trade licensing by Ministry of Industry and Trade (businessinfo.cz)

Czechia imposes no foreign-ownership restrictions on company formation: foreigners enjoy the same rights as Czech nationals and may hold 100% of an s.r.o. (limited liability company) with a nominal minimum share capital of 1 CZK. The formation process involves four to five sequential steps, notarised founding document, trade licence, commercial-register entry (executable by a notary in under 24 hours), and tax registration, and can be completed in roughly 5-15 business days at a court fee of CZK 6,000.