The ranking, which assessed 40 countries, was based on factors including internet speed, tax policies and exemptions, income requirements for visa applications, cost of living, healthcare quality, and tourism appeal.
Spain earned high marks for its fast internet, quality healthcare, and tourism popularity.
"Spain is a tourist heaven. It has great healthcare, low minimum income requirements for visas, and average taxes," said Lum Kamishi, project manager at VisaGuide.World, as quoted by CNBC.
"It’s an affordable country that offers beaches and sunny weather - two things digital nomads usually look for."
After attracting an estimated record 94 million international visitors last year, Spain is expecting even more tourists in 2025.
The country’s remote work visa allows foreigners to live in Spain for up to one year, provided they earn at least €2,646 (US$2,855) per month, double the national minimum wage.