Self-custodial wallet / non-custodial software in Samoa
Publisher of software where users hold their own private keys. The publisher never holds, controls, or has access to user funds.
Self-custodial wallet is conditionally permitted in Samoa with a local entity, subject to AML obligations and low licensing burden.
Verdict Details
- Permitted
- conditional
- Local entity required
- Yes
- Licensing burden
- Low
- Last updated
- 2026-07-13
AML Obligations
- AML obligations attach to the publisher if it is deemed a VASP under the broadened definition — the Money Laundering Prevention Amendment Act 2021 explicitly includes VASPs as 'financial institutions' or 'reporting entities' (ws.aml.money-laundering-prevention-amendment-act).
- Customer Due Diligence (CDD): identifying and verifying identity of customers and beneficial owners (ws.licensing.customer-due-diligence-cdd-know).
- Beneficial ownership identification and verification (ws.aml.beneficial-ownership-identifying-and-verifying).
- Ongoing transaction monitoring and screening for suspicious transactions (ws.licensing.monitoring-transactions-screening-for-suspicious; ws.aml.ongoing-monitoring-continuously-monitoring-the).
- Record-keeping of transactions and customer identification (ws.licensing.record-keeping-maintaining-records-of-transactions).
- Reporting suspicious transactions to the Financial Intelligence Unit (FIU) without delay, regardless of amount (ws.licensing.reporting-reporting-suspicious-transactions-to; ws.aml.reporting-obligation-if-a-vasp).
- Enhanced Due Diligence for PEPs, high-risk jurisdictions, complex/unusually large transactions (ws.aml.enhanced-due-diligence-edd-applying; ws.aml.politically-exposed-persons-peps; ws.aml.customers-from-high-risk-jurisdictions).
- No tipping-off prohibition on disclosing STRs to customers or third parties (ws.aml.no-tipping-off-vasps-and-their).
- Conduct regular risk assessments (ws.licensing.risk-assessments-conducting-regular-risk).
- Simplified Due Diligence permitted only in specified low-risk situations per FIU guidance (ws.aml.simplified-due-diligence-sdd-permitted).
Key Restrictions
- No specific VASP licensing or registration framework exists in Samoa — the operator cannot obtain a crypto-specific license (ws.licensing.registration-regime-not-established-for; ws.licensing.licensing-regime-not-established-for).
- The Central Bank of Samoa has consistently warned that no companies are licensed to deal in cryptocurrencies and stated they are not legal tender; this creates de facto uncertainty for any crypto business model (ws.enforcement.issuing-public-warnings-and-advisories; ws.enforcement.clarifying-regulatory-status-emphasizing-that).
- A local registered office in Samoa is required under company law, with physical address and potentially local directors/staff (ws.licensing.local-presence-any-company-registered).
- Company registration with MCIL under the Companies Act is required (ws.licensing.company-registration-register-the-company).
- General business license from MCIL required (ws.licensing.business-license-apply-for-a).
- Tax registration with MCR for Income Tax and VAGST required (ws.licensing.tax-registration-register-with-the).
Key Risks
- Regulatory ambiguity: a self-custodial wallet publisher that never holds user funds may not fit neatly within the VASP definition — the MLPA 2021 amendment lists 'safekeeping and/or administration of virtual assets or instruments enabling control over virtual assets' as a VASP activity, which could be interpreted to include non-custodial wallet software (ws.aml.safekeeping-andor-administration-of-virtual).
- Enforcement risk: the CBS has publicly stated no entities are licensed to deal in crypto and has discouraged crypto use; a publisher could face adverse regulatory action if the FIU interprets software distribution as triggering AML obligations (ws.enforcement.proactive-warnings-the-regulators-strong).
- No domestic licensing pathway means the operator cannot achieve regulatory certainty or authorization (ws.enforcement.lack-of-domestic-licensing-since).
- Consumer-protection exposure: CBS/SFSA warnings highlight lack of consumer protection for crypto — a publisher could face reputational or PR risk as regulators publicly discourage the activity (ws.enforcement.focus-on-consumer-protection-the).
- AML compliance burden without custody: if the publisher is deemed a reporting entity, AML obligations attach even though the publisher never holds funds, requiring KYC on wallet users — this is operationally dissonant with the non-custodial model and may be impractical.
Evidence
This verdict synthesizes the following facts. Each fact links to its primary source(s).
Licensing Regime: Not established for VASPs.
Registration Regime: Not established for VASPs.
Money Laundering Prevention Amendment Act 2021: This crucial amendment specifically expanded the scope of the MLPA 2007 to include Virtual Asset Service Providers (VASPs) as "financial institutions" or "reporting entities," bringing them under the AML/CFT obligations. This aligns Samoa with FATF Recommendation 15 on new technologies.
Safekeeping and/or administration of virtual assets or instruments enabling control over virtual assets.
Customer Due Diligence (CDD) / Know Your Customer (KYC): Identifying and verifying the identity of customers and beneficial owners.
Monitoring Transactions: Screening for suspicious transactions.
Record-Keeping: Maintaining records of transactions and customer identification.
Reporting: Reporting suspicious transactions to the FIU.
Risk Assessments: Conducting regular risk assessments.
Beneficial Ownership: Identifying and verifying the identity of the beneficial owner(s) of the customer, and taking reasonable measures to understand the ownership and control structure of legal persons and arrangements.
Ongoing Monitoring: Continuously monitoring the business relationship, including scrutiny of transactions undertaken throughout the course of that relationship, to ensure that the transactions are consistent with the VASP’s knowledge of the customer, their business, and risk profile, including, where necessary, the source of funds.
Enhanced Due Diligence (EDD): Applying EDD for higher-risk customers, business relationships, and transactions. This includes situations involving:
Customers from high-risk jurisdictions.
Reporting Obligation: If a VASP knows, suspects, or has reasonable grounds to suspect that funds or transactions (regardless of amount) are linked to money laundering, terrorism financing, or other criminal activity, it must report these suspicions to the FIU without delay.
No Tipping-Off: VASPs and their employees are prohibited from disclosing to the customer or any third party that a STR has been or will be made, or that an investigation is being conducted.
Simplified Due Diligence (SDD): Permitted in specified low-risk situations, as defined by regulations or FIU guidance, where adequate measures exist to mitigate the risk.
Local Presence: Any company registered and operating in Samoa is required to have a registered office in Samoa and comply with local company law requirements. This typically means having a physical address and potentially local directors/staff, depending on the scale of operations.
Company Registration: Register the company with the Ministry of Commerce, Industry and Labour (MCIL) under the Companies Act. This involves submitting incorporation documents, articles of association, details of directors and shareholders, and paying fees.
Business License: Apply for a general business license from the MCIL.
Tax Registration: Register with the Ministry of Customs and Revenue (MCR) for tax purposes (e.g., Income Tax, VAGST).
Issuing Public Warnings and Advisories: Highlighting the risks associated with cryptocurrencies, stating they are not legal tender, and advising against their use for domestic transactions or investment.
Clarifying Regulatory Status: Emphasizing that no local entities are licensed or authorized to deal in cryptocurrencies within Samoa's jurisdiction.
Proactive Warnings: The regulators' strong warnings may have deterred widespread local adoption or the establishment of crypto businesses without proper authorization.
Lack of Domestic Licensing: Since no entities are licensed, there are fewer specific regulatory conditions to violate, leading to fewer enforcement actions typically seen in regulated markets.
Focus on Consumer Protection: The primary goal seems to be protecting Samoan consumers and maintaining financial stability by discouraging involvement with unregulated crypto activities.
Verdict Attribution
- Source:
- AI-Generated · Unreviewed
- AI synthesized:
- 2026-07-13 (deepseek-chat)
- Last updated:
- 2026-07-13
- Confidence:
- low
This verdict was produced by an AI model from the underlying facts. Confirm with counsel before relying on it for material decisions.
Conditional — a self-custodial wallet software publisher may theoretically operate in Samoa, but faces significant regulatory ambiguity: the MLPA 2021 amendment brings VASPs under AML/CFT obligations (including publishers of software enabling control over virtual assets), yet no licensing/registration framework exists, the Central Bank has publicly warned against crypto, and applying custody-era AML rules (KYC, CDD, monitoring) to non-custodial software is operationally dissonant and creates material enforcement risk.
Questions this verdict aims to answer
- Does software publishing trigger VASP / MSB classification?
- Do AML obligations attach when no custody exists?
- What disclosure or consumer-protection rules apply?