Crypto-funded debit card in Algeria

Loi de Finances 2018 (2018 Finance Law), Article 117.

Custody Providers: Prohibited.

Payment Processors (handling crypto): Prohibited.

No registration: Businesses cannot register with any Algerian authority to legally offer crypto services.

No licensing: There are no licenses issued for crypto activities.

Article: Article 117 is the key provision.

Loi n° 23-07 du 21 Dhou El Hidja 1444 correspondant au 9 juillet 2023 relative à la monnaie et au crédit (Law No. 23-07 of July 9, 2023, on Money and Credit)

Content: This new comprehensive law, which replaced the previous Money and Credit Law of 2003, reaffirms the prohibition of cryptocurrencies. Article 138 states:

Classification (e-money/payment tokens/securities):

"The purchase, sale, and use of so-called virtual currency are prohibited. Any violation of this provision is punishable in accordance with the laws and regulations in force."

Entity Targeted: Individuals engaged in buying, selling, or facilitating the exchange of cryptocurrencies, often referred to as "illegal traders" or "individuals involved in unauthorized virtual currency transactions." Specific names are rarely disclosed in initial reports. Violation Type: Illicit use, possession, buying, or selling of virtual currencies; violation of foreign exchange regulations; money laundering (often linked as an additional charge). These stem directly from Article 117 of the 2018 Finance Law and subsequent reinforcing legislation. Penalty Amount: Varies significantly based on the judge's decision, but often includes:. Outcome: Arrest, seizure of assets/equipment, prosecution, and typically conviction leading to imprisonment and/or fines, based on the criminalization of these activities.

Entity Targeted: Individuals or groups operating cryptocurrency mining farms. These operations are often targeted not only for the illicit use of cryptocurrency but also for illegal electricity consumption, which carries additional penalties. Violation Type: Illegal operation of virtual currency mining, illicit use of virtual currencies, unauthorized electricity consumption, money laundering. These charges are derived from the criminalization of cryptocurrency activities and related offenses. Penalty Amount: Similar to trading violations, penalties include:. Outcome: Arrests, dismantling of mining operations, seizure of expensive mining hardware, prosecution, and convictions leading to imprisonment and fines.

Outcome: Arrest, seizure of assets/equipment, prosecution, and typically conviction leading to imprisonment and/or fines, based on the criminalization of these activities.

Outcome: Arrests, dismantling of mining operations, seizure of expensive mining hardware, prosecution, and convictions leading to imprisonment and fines.

Anti-Money Laundering (AML) / Counter-Terrorism Financing (CTF) Obligations: However, financial institutions (banks, payment service providers) in Algeria are subject to strict AML/CTF laws. If an individual or business attempts to convert funds suspected to be derived from illegal crypto activities into the traditional financial system, these attempts would be considered suspicious transactions and must be reported to the relevant authorities (e.g., Cellule de Traitement du Renseignement Financier - CTRF). This could trigger investigations and legal consequences for engaging in prohibited activities.