Algeria Criminalizes All Crypto Activities, Imposes 1-Year Jails 7500 Fines Over Money Laundering Tax Evasion

Algeria has enacted a sweeping legislative ban on cryptocurrency activities, criminalizing trading, mining, holding, and promoting digital assets such as Bitcoin. The amendment, passed on July 24, positions the North African nation among a small group of countries—most notably China—that have adopted outright prohibitions, contrasting with global trends toward regulated integration [1]. The move reflects growing concerns over financial stability, with authorities citing risks like money laundering, tax evasion, and fraud, particularly among uninitiated users. Penalties for violations are severe, including up to one year in prison and fines exceeding $7,500, extending to platforms, wallet providers, and advertisers [1].

The decision marks a sharp turn for Algeria, which had previously ranked among the Middle East and North Africa (MENA) region’s fastest-growing crypto markets. Officials now frame the sector as a threat to national stability, prioritizing anti-money laundering and counter-terrorism efforts over fostering digital innovation. Critics, however, warn the blanket ban could hinder technological progress in a region where digital adoption is accelerating. By eliminating legal access to crypto across the board, Algeria joins a restrictive cohort while most nations explore frameworks to supervise the industry [1].

The legislation underscores a global divergence in crypto regulation. While countries like the U.S. and EU nations debate oversight models, Algeria and China have opted for prohibition. This approach risks isolating Algeria from global financial trends but aligns with stringent control measures seen in other authoritarian regimes. The economic impact remains uncertain, though the immediate effect is the erasure of a nascent market that once showed potential for diversifying Algeria’s oil-dependent economy [1].

Source: [1] Algeria Just Banned All Crypto – Here’s What You Need to Know (https://coinmarketcap.com/community/articles/6888ff31c9ac36761de1f3dd/)