Algeria has enacted a new law that imposes a sweeping ban on all cryptocurrency-related activities. The legislation prohibits the issuance, purchase, sale, possession, and use of virtual currencies, as well as the operation of crypto exchange platforms.
Algeria has implemented legislation that renders all digital asset-related activities unlawful under national law.
According to a recent report from the Algerian news and information portal Fibladi, the objective of the action is to protect the financial system and strengthen the fight against terrorist financing and money laundering.
Algeria’s anti-money laundering regulations were explicitly amended by the new legal framework established by Law No. 25-10 of July 24, 2025, and published in the Official Journal No. 48.
Algeria Criminalizes All Aspects of Crypto Activity
Algeria has now criminalized all aspects of cryptocurrency engagement, such as mining, trading, possession, promotion, and the operation of trading platforms or wallets.
Article 6a, a fundamental aspect of the legislation, prohibits “any form of issuance, purchase, sale, possession, use, or promotion of crypto-assets.”
This provision encompasses establishing or supervising digital asset platforms, regardless of whether they are operated domestically or online. Even the use of intermediaries, which is considered indirect involvement, is now considered a punishable offense.
It is crucial to note that the prohibition does not apply exclusively to transactions. The activity of cryptocurrency mining, which was previously on the rise in the southern regions of Algeria due to the low cost of electricity, has been explicitly prohibited.
The law forbids the production, distribution, or promotion of any virtual currency, excluding individual enthusiasts and large-scale mining operations.
The penalties for violating the new regulations are severe. Depending on the circumstances, Article 31a specifies that prison sentences may range from two months to one year, fines may vary from 200,000 to 1,000,000 dinars, or both.
Individuals convicted of engaging in financial offenses, such as money laundering or operating within organized networks, are subject to even more severe penalties.
Legal experts perceive the legislation as a preventive measure to protect Algeria’s financial sector from the risks associated with crypto-assets, as they are concerned about the volatility of these assets and the opaque nature of many transactions.
The law’s introduction is consistent with the international anti-money laundering standards established by organizations such as the Financial Action Task Force (FATF).
Algeria’s Crypto Ban Bucks Global Regulatory Trend
Algeria distinguishes itself from the regulatory trends observed in numerous other nations concerning digital assets.
For example, the GENIUS Act, which was recently introduced in the United States, is the first significant crypto legislation to pass through Congress.
The law establishes the foundation for distinct distinctions between payment-focused and investment-oriented stablecoins, which is indicative of a more general trend toward integrating digital assets into the regulated financial system, rather than their complete exclusion.
Even in emerging markets, attitudes toward cryptocurrency are changing. Pakistan has recently indicated a shift in stance by moderating its policies and pursuing regulatory engagement, despite its previous adamant opposition to cryptocurrency.
The reversal occurs as regional actors endeavor to capitalize on the potential of blockchain technology for economic modernization and financial inclusion.
