The Algerian government has decided to impose a complete ban on cryptocurrency operations, reflecting a strict stance on this issue.
Content of the New Law
As published in the Official Journal on July 24, 2025, the Algerian government and Direction Générale des Impôts have criminalized the issuance, purchase, possession, and promotion of cryptocurrencies within the country's borders. This legislation imposes heavy fines and potential prison sentences for citizens involved with cryptocurrency.
Impact on Financial and Social Domains
The ban significantly impacts individuals and the potential development of the crypto industry in Algeria. The financial sector will not be able to offer crypto-related services, limiting both local and foreign involvement and hindering economic diversification. The social consequences will also be evident as citizens engaging in cryptocurrency could face fines and imprisonment. These measures restrict technological innovation and may cause talented individuals to consider relocation.
Global Observation and Potential Ripple Effects
This policy could deter foreign investment in Algeria's tech sector, adversely affecting local economic growth. It also creates a unique positioning against regional neighbors that are more accepting of cryptocurrencies. Countries around the world are observing Algeria's actions as a case study, which may influence others contemplating similar regulations. As noted in the Official Journal, "The issuance of virtual assets of all kinds; their purchase, sale or possession; their use as a means of payment or investment; their promotion or advertising in any form is now illegal."
The ban on cryptocurrency in Algeria underscores the country's determination in regulating financial technologies, which may have long-term impacts on its economy and social landscape.
