Custodial wallet / SaaS in Tunisia

Absence of a Legal Framework: There is no specific law or regulation defining cryptocurrencies, digital assets, or the services related to them (including custody).

Official Warnings: The BCT has issued several warnings against the use of cryptocurrencies, citing their speculative nature, lack of legal tender status, volatility, and risks associated with money laundering and terrorist financing. These warnings generally discourage engagement with these assets rather than regulate their operation.

No Licensing Regime for VASPs: Without a defined legal framework, there are no specific licensing requirements for Virtual Asset Service Providers (VASPs), including those offering custody services.

None. There are no specific licenses required for providing cryptocurrency custody services in Tunisia, primarily because the activity itself is not formally recognized or regulated under a specific framework. Engaging in such activities might fall into a legal grey area, and entities doing so would not be formally licensed by Tunisian financial authorities for crypto-related services.

None. As there is no specific regulatory framework for crypto custodians, there are no specific rules mandating the segregation of client digital assets from the custodian's own assets.

Evidence fact tn.custody.none-there-are-no-specific-1 not found (may have been renamed).

None. Tunisian regulations do not include specific mandates for cold storage or any other particular security measures for digital assets, as there is no framework regulating digital asset custody.

None. There is no legal or regulatory definition of a "qualified custodian" in the context of digital assets in Tunisia. The existing financial regulations apply to traditional financial institutions and services, not to unregulated crypto entities.

Banque Centrale de Tunisie (BCT) Communiqué de presse sur les monnaies virtuelles (November 10, 2020):

The BCT reiterated its warnings about the risks associated with virtual currencies, emphasizing their speculative nature, the absence of an issuer, legal guarantee, or supervision from any authority. It also highlighted the risks of money laundering and terrorist financing. The BCT stated that "dealing with virtual currencies exposes users to risks of fraud and theft, and does not benefit from any legal protection or recourse to local or foreign financial authorities."

Cryptocurrencies are not recognized as legal tender in Tunisia.

Transactions involving cryptocurrencies are not authorized by the BCT.

Custody Providers: Similarly, no specific license exists. Providing custody for virtual assets would fall into the same regulatory void/prohibition.

Local Presence: A physical presence in Tunisia, including a local registered office, and potentially local management and staff.

AML/KYC Compliance: Strict Anti-Money Laundering (AML) and Know Your Customer (KYC) policies and procedures, in line with international standards (FATF recommendations). This would include customer identification, transaction monitoring, suspicious activity reporting to the Commission Tunisienne des Analyses Financières (CTAF) (Tunisia's Financial Intelligence Unit).

Commission Tunisienne des Analyses Financières (CTAF) - Tunisia's FIU:

Law No. 2022-77 of December 26, 2022, on Combating Money Laundering and Terrorist Financing (Loi n° 2022-77 du 26 décembre 2022, relative à la lutte contre le blanchiment d'argent et le financement du terrorisme).

Definition of Virtual Asset Service Providers (VASPs): It explicitly includes VASPs as "reporting entities" (or "obliged entities" / "personnes assujetties"). While the law itself may not define all types of VASPs exhaustively, it typically covers entities that conduct one or more of the following activities for or on behalf of another natural or legal person:

Safekeeping and/or administration of virtual assets or instruments enabling control over virtual assets.

Compliance Requirement: Tunisia is legally bound to implement UN Security Council (UNSC) resolutions that impose targeted financial sanctions. These primarily relate to counter-terrorism (e.g., against Al-Qaida, ISIL/Da'esh affiliates) and counter-proliferation of weapons of mass destruction. All financial institutions, including VASPs (once explicitly regulated or by analogy), must freeze assets and prevent funds/services from being made available to designated individuals and entities on the UN Consolidated Sanctions List.

Compliance Requirement: The FATF sets international standards for combating money laundering and terrorist financing. Tunisia, through its membership in MENAFATF, is assessed on its adherence to these recommendations. Recommendation 15 specifically addresses virtual assets and VASPs, requiring countries to regulate and supervise VASPs for AML/CFT purposes, including implementing targeted financial sanctions. VASPs are expected to conduct customer due diligence (CDD), monitor transactions, report suspicious activities, and screen against sanctions lists. The FATF "Travel Rule" (Recommendation 16) also applies to VASPs.

Tunisia's Status: The MENAFATF's 2019 Mutual Evaluation Report (MER) for Tunisia highlighted that Tunisia needed to adopt legislative and regulatory measures to apply the FATF Recommendations to virtual assets and VASPs. While progress has been made, the underlying AML/CFT obligations apply.

Entity Targeted: Iskander Najar (also sometimes reported as Islem Najar), a young Tunisian individual. Violation Type: Illegally using cryptocurrency to transfer money abroad, violating Tunisian foreign exchange laws (specifically, the prohibition on non-authorized transfers of foreign currency) and potentially money laundering charges. Penalty Amount: Initial sentence of two years in prison and a fine of 5,000 Tunisian Dinars (TND) (approximately $1,700 at the time). This sentence was later reduced on appeal. Specific details of the reduced fine are less widely reported than the prison sentence reduction.

Outcome: Najar was convicted and served time in prison. The case garnered significant international attention, with many advocating for his release and highlighting the severity of Tunisia's stance on crypto. His sentence was ultimately reduced on appeal, and he was released after serving part of his term. The outcome reinforced Tunisia's strict interpretation of its foreign exchange laws concerning digital assets.

Legal Basis: UN Security Council Resolutions, particularly those under Chapter VII of the UN Charter (e.g., Resolution 1267 (Al-Qaida/ISIL), 1373 (general counter-terrorism), 1718 (DPRK), 2231 (Iran). Tunisia incorporates these into its national law.