Guinea

The speculative nature and extreme volatility of cryptocurrencies.

Their lack of legal tender status and absence of intrinsic value.

The high risk of fraud, scams, money laundering, and terrorist financing.

The absence of regulatory oversight and consumer protection mechanisms.

The fact that they are not recognized as legitimate currencies or financial instruments under Guinean law.

**Cryptocurrency Exchanges:** Operating a platform for buying, selling, or exchanging cryptocurrencies is not permitted.

**Custody Providers:** Providing services for safeguarding cryptographic keys or virtual assets on behalf of customers is not permitted.

**Payment Processors (for Virtual Assets):** Facilitating payments or transfers using cryptocurrencies is not permitted.

**AML/KYC:** The general anti-money laundering and combating the financing of terrorism (AML/CFT) laws and regulations of Guinea would still apply to any financial activity. These laws would make it extremely difficult (and likely illegal) to process transactions for unregulated assets like cryptocurrencies without proper identification and reporting mechanisms.

**Local Presence:** For any recognized financial institution, a physical local presence and registration would be mandatory.

**Banque Centrale de la République de Guinée (BCRG) Official Website:**

**How to find relevant information:** You would typically navigate to the "Actualités" (News) or "Communiqués de Presse" (Press Releases) sections. While a direct, permanent URL to a specific communiqué from several years ago might be difficult to pin down (as they often rotate or are archived), the consistent message is one of prohibition and caution. Interested parties should regularly consult the BCRG's official pronouncements for the most up-to-date position.

**General Financial Legislation:** While not specific to crypto, the fundamental laws governing the financial sector provide the framework within which crypto is currently deemed illegal or non-compliant:

**Law L/2012/030/AN on the Status of the Banque Centrale de la République de Guinée:** Defines the powers and responsibilities of the central bank.

**Banking and Financial Institutions Laws:** Govern traditional financial service providers.

**Loi L/2012/032/AN portant Organisation du Marché Financier (Law L/2012/032/AN on the Organization of the Financial Market)**.

Related decrees and regulations that define what constitutes a financial instrument or security.

**Equity:** Shares in a company.

**Debt:** Bonds or other transferable debt instruments.

**Collective Investment Schemes:** Units or shares in investment funds.

**Other Transferable Securities:** Any other instrument generally recognized as conferring similar rights or obligations.

**Security Tokens:** These are the most likely to be classified as securities. If a token represents ownership (equity token), a debt obligation (bond token), a right to profit-sharing, or a share in a collective investment scheme, it would likely fall under the existing definition of a security.

**Investment Tokens:** Any token whose primary purpose is to raise capital from investors with an expectation of profit, derived from the efforts of others, and not primarily providing a utility or payment function, could be scrutinized under traditional securities law.

**Payment Tokens:** Generally, payment tokens (like Bitcoin) are explicitly stated by the BCRG not to be legal tender or regulated. They are unlikely to be classified as securities unless they are part of a specific investment scheme.

**NFTs:** Non-fungible tokens are generally unlikely to be classified as securities unless they represent fractional ownership in an income-generating asset or a share in a collective investment scheme, rather than merely a unique digital collectible.

**Registration Requirements:** The issuer would be subject to the same strict registration, disclosure, and prospectus requirements as traditional issuers of securities. This would involve filing detailed information with the relevant financial market authority (which may not be fully established or functional for capital markets in Guinea beyond the Central Bank's oversight for financial institutions). The lack of a dedicated capital markets authority separate from the Central Bank further complicates this.

**Exemption Requirements:** There are no specific exemptions for digital asset issuances. Any exemptions would be based on traditional securities law (e.g., private placement exemptions for sophisticated investors or small offerings), which may not be practically applicable or suitable for typical token sales.

**Trading on Regulated Exchanges:** Securities would need to be traded on officially recognized and regulated stock exchanges or through licensed brokers. Guinea does not have a developed domestic stock exchange that would list such digital assets.

**Broker-Dealer Licensing:** Entities facilitating secondary trading would likely require broker-dealer licenses.

**Market Abuse Rules:** Rules against insider trading and market manipulation would apply.

**Warnings from the BCRG:** The Central Bank has issued warnings to the public about the risks associated with cryptocurrencies, stating they are unregulated and not legal tender. These are preventative measures rather than direct enforcement actions against specific projects for securities violations.

**General Fraud or Financial Crime:** If crypto-related activities involve outright fraud, pyramid schemes, or money laundering, they would fall under existing criminal laws rather than specific securities regulations for digital assets.

**Law L/2012/032/AN portant Organisation du Marché Financier (Law L/2012/032/AN on the Organization of the Financial Market):**

**Direct URL:** Highly unlikely to be a stable, publicly available direct URL from a government site. You would typically find references in legal databases or academic papers. This law forms the basis of securities regulation.

**Guidance:** Look for press releases, communiqués, or public advisories (under "Publications" or "Communiqués de Presse") regarding virtual currencies. These typically warn against their use. For example, similar to many central banks, the BCRG has likely issued warnings against the use of cryptocurrencies as payment instruments due to their unregulated nature and volatility. You would need to navigate the French site to find specific statements.

**Regulatory Approach:** **Partial/Implicit Ban (for regulated entities) and Unregulated (for individuals).**

There is no specific legal framework in Guinea to regulate, license, or supervise cryptocurrency activities.

The Central Bank has issued strong warnings that effectively deter financial institutions from dealing with crypto. For individuals, holding or trading crypto is not explicitly illegal, but it operates in a completely unregulated environment, meaning no consumer protection or legal recourse.

**Key Legislation Names and Dates:**

**Absence of Specific Crypto Legislation:** As of late 2023/early 2024, there is **no dedicated legislation** in Guinea specifically regulating cryptocurrencies or virtual assets. This means there are no laws for licensing crypto exchanges, defining virtual asset service providers (VASPs), or establishing a clear tax regime for crypto.

**Communiqué de la Banque Centrale de la République de Guinée sur les crypto-monnaies et autres actifs numériques (Communiqué from the Central Bank of the Republic of Guinea on cryptocurrencies and other digital assets)**

**Date:** Issued around **late 2021 / early 2022**. (While an exact date can be hard to pinpoint on the BCRG's site archives, news reports frequently cite this period).

**Content Summary:** This communiqué warns the public against the use of cryptocurrencies and digital assets. Key points often include:

Cryptocurrencies are **not legal tender** in Guinea.

They are **not regulated or supervised** by the BCRG or any other Guinean authority.

Users are exposed to significant risks, including **price volatility, scams, cybercrime, and potential money laundering/terrorist financing (AML/CFT) risks.**

Financial institutions regulated by the BCRG are **not authorized** to engage in activities related to cryptocurrencies or to facilitate transactions involving them.

The BCRG disclaims any responsibility for losses incurred from crypto activities.

**URL:** While direct permanent links to dated press releases can be difficult to find on many central bank websites, the existence and content of this communiqué are widely reported by financial news outlets. You would typically find it in the "Communiqués" or "Press Releases" section of the BCRG website if available in their archives, or through news reports referencing it.

*Example of a reputable news source reporting on the BCRG's stance (while not the original communiqué, it confirms its issuance and content):* Searching "BCRG cryptomonnaie" often leads to articles from reputable African news sources.

**Current Stance on Crypto Trading and Exchanges:**

**For Regulated Financial Institutions:** Strictly discouraged and effectively **prohibited**. Banks and other financial service providers supervised by the BCRG are not allowed to deal in cryptocurrencies or offer services related to them.

**For Individuals:** Not explicitly illegal to buy, sell, or hold cryptocurrencies. However, this occurs in a **completely unregulated environment**.

**No Consumer Protection:** There are no legal safeguards for individuals who trade crypto, meaning they bear all risks of loss, fraud, or exchange collapse.

**No Licensed Exchanges:** No cryptocurrency exchanges are officially licensed or regulated to operate in Guinea. Any platforms operating there do so without a specific legal basis.

**AML/CFT Risks:** While specific crypto AML/CFT laws are absent, general anti-money laundering and counter-terrorist financing legislation would apply if crypto were used in illicit activities, but without a framework for legitimate crypto businesses.

**Law N° L/2018/005/AN concerning the Fight Against Money Laundering and Terrorist Financing (LBC/FT):** This is the fundamental legal text. It replaced older legislation and aims to align Guinea's framework with international standards, particularly the FATF recommendations.

**Decree N° D/2019/078/PRG/SGG of 29 March 2019, on the Application of Law N° L/2018/005/AN:** This decree provides the implementing details for the AML/CFT law.

**Identification and Verification of Customer Identity:**

For natural persons: Full name, address, date of birth, nationality, unique identification number (e.g., national ID, passport). Verification using reliable, independent source documents, data, or information.

For legal entities: Name, legal form, address, proof of existence, names of directors/partners, legal representatives, and identification of the beneficial owners.

**Identification of Beneficial Owners:** Take reasonable measures to understand the ownership and control structure of the customer and identify the natural persons who ultimately own or control the customer.

**Understanding the Purpose and Nature of the Business Relationship:** Obtain information on the intended nature of the business relationship or transaction (e.g., source of funds/wealth, type of virtual assets involved, transaction patterns).

**Ongoing Due Diligence:** Conduct ongoing monitoring of the business relationship and transactions to ensure they are consistent with the VASP's knowledge of the customer, their business, and risk profile.

**Risk-Based Approach (RBA):** VASPs must implement an RBA, meaning they should apply enhanced due diligence (EDD) for higher-risk situations (e.g., transactions involving politically exposed persons (PEPs), customers from high-risk jurisdictions, complex or unusually large transactions, new or developing technologies and products). Conversely, simplified due diligence (SDD) may be applied in lower-risk scenarios.

**Report Suspicious Transactions:** Immediately report any transaction (or attempted transaction) that they suspect involves money laundering or terrorist financing to the Financial Intelligence Unit (FIU). This includes transactions regardless of the amount.

**No Tipping-Off:** Not disclose to the customer or any third party that a report has been made or that a money laundering or terrorist financing investigation is being conducted.

**Timeliness:** Reports must be filed promptly after suspicion is formed.

**Transaction Records:** All records of financial transactions, including the amounts, currencies, virtual assets involved, dates, and parties to the transaction.

**Customer Identification Data:** All documents and information obtained during the CDD process (e.g., copies of identification documents, beneficial ownership information).

**Correspondence:** All relevant correspondence relating to customer relationships and transactions.

**Cellule Nationale de Traitement des Informations Financières (CENTIF-Guinée)**

**Description:** This is Guinea's Financial Intelligence Unit (FIU). CENTIF is the central national authority responsible for receiving, analyzing, and disseminating suspicious transaction reports to competent authorities for investigation. It is responsible for ensuring compliance with AML/CFT obligations across all obliged entities.

**URL:** While a dedicated, fully independent website for CENTIF-Guinée might be challenging to find or directly navigate in English, information about it is often available through the Guinean government portals or GIABA's website. A common general link could be a government page referring to it or the Ministry of Economy and Finance.

**Banque Centrale de la République de Guinée (BCRG):** As the central bank, the BCRG is responsible for regulating and supervising the traditional financial sector. While CENTIF handles STRs and general AML oversight, the BCRG might be involved in licensing and prudential supervision of entities that provide financial services, which could eventually include VASPs.

**Stay Updated:** Monitor any new pronouncements or guidelines from CENTIF-Guinée or the BCRG.

**Proactive Engagement:** Consider engaging with the regulators to understand their current expectations and any forthcoming specific requirements for VASPs.

**Legal Counsel:** Obtain local legal counsel to ensure full compliance with current laws and to prepare for any future specific regulations regarding virtual assets.

**Asset Freezes:** VASPs must immediately freeze any virtual assets or funds belonging to or controlled by individuals and entities listed on the **UN Security Council Consolidated List**. This includes preventing them from accessing or transferring virtual assets.

**Prohibition of Services:** VASPs must not provide any financial services, including virtual asset services, to designated individuals or entities.

**Reporting:** Member states are required to have mechanisms to report frozen assets and denied services to the relevant UN Sanctions Committee.

VASPs must implement robust screening processes to check their customer base (KYC data) and all transactional parties against the UN Consolidated List.

This screening should be performed at onboarding, periodically, and on a real-time basis for transactions.

UN sanctions programs often target specific countries, regions, or governments (e.g., North Korea, Iran, specific individuals in other conflict zones). VASPs must ensure they do not facilitate transactions that violate these broader country-based restrictions.

**UN Security Council Resolutions:** https://www.un.org/securitycouncil/content/resolutions

**UN Security Council Consolidated List:** https://www.un.org/securitycouncil/content/un-sc-consolidated-list

Has U.S. persons as customers, employees, or beneficial owners.

Uses U.S. dollar transactions (even if cleared outside the U.S.).

Utilizes U.S.-origin technology or infrastructure (e.g., cloud servers, software).

Causes a U.S. person to violate OFAC sanctions.

**Blocking Property:** VASPs must block (freeze) any property and interests in property of Specially Designated Nationals (SDNs) and entities designated under various OFAC sanctions programs. This applies to virtual assets as well.

**Prohibited Transactions:** VASPs are generally prohibited from engaging in any transactions or dealings with blocked persons or entities, or with persons/entities in comprehensively sanctioned jurisdictions.

**Reporting:** Blocked property and rejected transactions must be reported to OFAC within specific timeframes.

**SDN List and Other Lists:** VASPs must screen all customers and transactions against the **OFAC Specially Designated Nationals and Blocked Persons (SDN) List** and all other relevant OFAC sanctions lists (e.g., Sectoral Sanctions Identifications List - SSI, Palestinian Legislative Council List - PLC, Non-SDN Menu-Based Sanctions List - NS-MBS).

**Beneficial Ownership:** Screening must extend to beneficial owners and control persons.

VASPs must implement strict controls to prevent any direct or indirect transactions involving virtual assets with individuals, entities, or IP addresses originating from comprehensively sanctioned jurisdictions. These include:

**The Crimea Region of Ukraine**

*Note: Certain sectors and individuals in Venezuela are also sanctioned.*

This includes blocking access based on IP addresses, self-declared residency, and other identifying information.

**OFAC Sanctions Programs and Country Information:** https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-sanctions/sanctions-programs-and-country-information

**A Framework for OFAC Compliance Commitments (Guidance for a risk-based approach):** https://home.treasury.gov/system/files/126/OFAC_Compliance_Framework_05022019.pdf

**Asset Freezes:** VASPs must freeze all funds and economic resources (including virtual assets) belonging to or controlled by individuals and entities listed on EU sanctions lists.

**Prohibition on Making Funds Available:** It is prohibited to make funds or economic resources directly or indirectly available to, or for the benefit of, listed individuals or entities.

**Reporting:** Entities are required to report frozen assets and provide information to competent national authorities in EU member states.

**EU Consolidated List:** VASPs must screen their customers and transactions against the **EU Consolidated List** of persons, groups, and entities subject to EU financial sanctions.

The EU also implements comprehensive sanctions against certain countries (e.g., Russia/Ukraine, Syria, North Korea) and restrictive measures against specific regimes or activities. VASPs must ensure compliance with these country-specific and thematic restrictions.

**EU Sanctions Map (External Action Service):** https://www.sanctionsmap.eu/ (Provides an overview of current EU sanctions regimes)

**EUR-Lex (Official Journal of the EU):** https://eur-lex.europa.eu/ (For specific legal acts implementing sanctions)

**Financial Sanctions (European Commission):** https://finance.ec.europa.eu/financial-operations/eu-sanctions/financial-sanctions_en

**FATF Recommendation 15:** Specifically addresses new technologies, including virtual assets, and requires countries to regulate VASPs for AML/CFT purposes. This includes implementing targeted financial sanctions.

**FATF Guidance for Virtual Assets and VASPs:** https://www.fatf-gafi.org/publications/fatfrecommendations/guidance-virtual-assets-vasps.html

**GIABA:** As a GIABA member, Guinea is expected to adopt these FATF standards into its national legal and regulatory framework.

**Civil Penalties:** Can range from tens of thousands to millions of dollars per violation, often determined by a base penalty amount multiplied by the number of transactions or parties involved.

**Criminal Penalties:** For willful violations, individuals can face substantial prison sentences (up to 20 years) and multi-million dollar fines. Corporations can face hundreds of millions of dollars in fines.

**Asset Forfeiture:** Assets involved in or traceable to the violation may be seized.

**EU:** Penalties vary by EU member state but typically include significant fines, imprisonment, and asset confiscation.

**UN (implemented domestically):** While the UN itself does not levy penalties, non-compliance with UN resolutions by a member state like Guinea would lead to domestic penalties under Guinea's national laws, likely mirroring or incorporating aspects of its AML/CFT framework.

**Reputational Damage:** Beyond legal penalties, violations can lead to severe reputational damage, loss of licenses, and exclusion from the global financial system.

**Risk-Based Approach:** Assess sanctions risks associated with their business model, customer base, and geographic presence.

**KYC/CDD:** Implement strong Customer Due Diligence to identify and verify customers and beneficial owners.

**Sanctions Screening:** Continuously screen all customers, beneficial owners, and transaction counterparties against the UN, OFAC (SDN, SSI, etc.), and EU consolidated sanctions lists.

**Geographic Controls:** Implement IP blocking, geo-fencing, and other controls to restrict services to comprehensively sanctioned jurisdictions.

**Transaction Monitoring:** Monitor transactions for patterns indicative of sanctions evasion.

**Internal Controls:** Develop written policies, procedures, and internal controls for sanctions compliance.

**Training:** Provide regular training to relevant staff on sanctions compliance.

**Reporting:** Establish procedures for reporting potential matches or violations to relevant authorities (e.g., Guinea's financial intelligence unit, OFAC, EU authorities if applicable).

**Record-Keeping:** Maintain thorough records of all compliance activities.

**Regulator Name:** Banque Centrale de la République de Guinée (BCRG) - (Central Bank of the Republic of Guinea)

**Entity Targeted:** The general public, financial institutions, and implicitly, any unregistered cryptocurrency operators or promoters within Guinea.

**Violation Type:** Engaging with or promoting financial instruments (cryptocurrencies) that are not recognized as legal tender, are volatile, speculative, and outside the regulated financial system, posing risks of fraud, money laundering, and financial instability. This is a preventative warning rather than a direct violation levied against an entity.

**Penalty Amount:** Not applicable (this is a public warning, not a fine against an entity).

**Date:** Multiple warnings have been issued over recent years, with renewed emphasis. For instance, reports from **early 2022 and 2023** reiterated these positions.

**Outcome:** Heightened public awareness of the risks, discouragement of widespread crypto adoption, and a clear signal to financial institutions to avoid dealing with crypto assets. It also serves as a foundational stance for any future enforcement.

Given the nature of central bank warnings in a developing nation, a single, consistently updated URL for every press release might not exist or be easily accessible in English. However, such warnings are often reported by regional financial news or the central bank's own publications.

For general context on the stance of central banks in the region, which often includes Guinea:

**Jeune Afrique (mentioning regional trends and central bank warnings):** https://www.jeuneafrique.com/1247493/economie/en-afrique-de-louest-le-bitcoin-se-developpe-hors-des-radars/ (Article in French, discusses general context, published 2021 but reflects ongoing stance)

**Actualité Africaine (example of regional warnings):** https://www.actualiteafricaine.com/2022/02/08/la-bceao-met-en-garde-contre-les-cryptomonnaies/ (While this specifically mentions BCEAO, Guinea's central bank often aligns with or issues similar warnings, emphasizing the common regional stance. You'd typically find similar local press releases from BCRG itself.)

**Regulator Name:** General Guinean Police / Judicial Authorities (e.g., Direction Centrale de la Police Judiciaire - DCPJ, or local gendarmerie).

**Entity Targeted:** Individuals or groups orchestrating investment schemes or scams that might utilize cryptocurrencies or promise crypto-related returns.

**Violation Type:** Fraud, illegal financial operations, potentially money laundering.

**Penalty Amount:** Varies by judicial decision; often involves arrests, prosecution, and potential imprisonment, but not typically a "regulatory fine" in the initial enforcement phase. Specific amounts are rarely publicized at the time of arrest.

**Date:** Such incidents occur periodically, but specific, high-profile arrests solely centered on cryptocurrency in Guinea with international reporting in the last 3 years are difficult to pinpoint.

**Outcome:** Arrests, ongoing investigations, potential prosecution and conviction under general criminal law.

**Source URLs:** It is extremely challenging to find specific, internationally reported examples of such actions for Guinea with all requested details. Local news may report arrests related to fraud, but often lack specific crypto-centric details or follow-up on outcomes and penalty amounts in English.

**No dedicated crypto regulatory body:** Guinea does not have a specific regulatory body solely focused on cryptocurrency, nor a comprehensive legal framework for crypto assets.

**Lack of specific fines:** There have been no widely reported instances of the BCRG or another financial authority levying specific fines against crypto exchanges or platforms for regulatory non-compliance, largely because such entities would be operating outside any recognized framework.

**Focus on fraud:** Any direct "enforcement" actions are more likely to fall under general criminal law for fraud or illegal financial operations, rather than specific crypto regulations.