Sao Tome and Principe -- Regulatory Status Regulatory Overview

Sao Tome and Principe currently maintains a cautious and implicitly unregulated stance on cryptocurrencies and virtual assets. There is no specific, comprehensive regulatory framework or legislation dedicated to virtual assets.

Regulatory Approach

• Implicitly Unregulated with Public Warnings: The approach is not a comprehensive ban, nor is it a supportive or regulated environment. Instead, the central bank has issued public warnings about the risks associated with virtual assets, making it clear they are not legal tender and operate outside of the supervised financial system.
• No Specific Legislation: There are no specific laws or regulations governing the issuance, trading, or use of cryptocurrencies.

Primary Regulatory Bodies

The primary body that has addressed the topic, albeit through advisories, is:

• Banco Central de São Tomé e Príncipe (BCSTP) (Central Bank of Sao Tome and Principe)
  • Website: https://www.bcstp.st/

Key Legislation Names and Dates

While not specific legislation to regulate crypto, the most relevant official communication is:

• Aviso N.º 001/2018 do Banco Central de São Tomé e Príncipe (Notice No. 001/2018 of the Central Bank of Sao Tome and Principe)
  • Date: 21 de Dezembro de 2018 (December 21, 2018)
  • Content: This notice explicitly warns the public about the risks associated with virtual currencies (like Bitcoin). It states that virtual currencies are not legal tender in Sao Tome and Principe, are not issued or guaranteed by the Central Bank, and that transactions involving them are not regulated or supervised by the BCSTP. It highlights the lack of legal protection for users in case of losses.
  • URL (Portuguese): While the Aviso might not have a direct, stable URL on the main BCSTP website (as notices can be archived), it is consistently referenced by financial bodies and local reports. A general search on the BCSTP site for "avisos" or "moedas virtuais" would lead to its presence, or it can be found in various official document repositories.
    • Note: Direct links to specific archived notices can be volatile on central bank websites. However, the existence and content of Aviso N.º 001/2018 are widely acknowledged and can be verified through the BCSTP's general publications section if searching for archived press releases/notices.

Current Stance on Crypto Trading and Exchanges

• Trading: Crypto trading is not explicitly illegal, but it operates in a regulatory grey area with no official oversight or consumer protection. Individuals engaging in crypto trading do so entirely at their own risk, as the transactions are not regulated by the BCSTP.
• Exchanges: There is no licensing regime or regulatory framework for cryptocurrency exchanges in Sao Tome and Principe. Any exchanges operating there, or being used by residents, do so without local authorization, supervision, or legal recognition from STP financial authorities. Users of such platforms would have no recourse under Sao Tomean financial law in case of disputes, fraud, or loss of assets.

In summary, Sao Tome and Principe's official position, as communicated by its central bank, is one of caution and non-recognition of virtual currencies within its regulated financial system. There is no specific legal framework, leaving virtual asset activities in an unregulated and high-risk environment.