Algeria's Crypto Ban: How Law No. 25‑10 Is Enforced

On July 24, 2025 Algeria took a dramatic step: it criminalized every facet of digital‑asset activity. The new legislation-Law No. 25‑10-does more than ban trading; it makes possession, mining, promotion, even casual talk about crypto a punishable offense. If you’re wondering how the crackdown works, who’s behind it, and what it means for anyone in the country, this guide pulls apart the law, the enforcement engine, and the wider fallout.

Key Takeaways

• Law No. 25‑10 criminalizes possession, trading, mining, wallets, exchanges and any crypto‑related promotion.
• Penalties range from two months to one year in prison and fines of 200,000-1,000,000 Algerian dinars ($1,540-$7,700).
• Four government bodies-Bank of Algeria, Banking Commission, financial authorities, and security agencies-coordinate enforcement.
• The ban aligns Algeria with FATF anti‑money‑laundering guidance but runs opposite to most global trends.
• Talent, investment, and the nascent MENA crypto ecosystem have all been hit hard, prompting a brain‑drain.

What Law No. 25‑10 Actually Says

At its core, Law No. 25‑10 is a comprehensive prohibition that outlaws issuance, possession, purchase, sale, storage, mining, promotion, and any use of digital assets. Article 6 bis spells out the ban in exhaustive detail. It does not limit the prohibition to active traders; even a person who simply holds a Bitcoin wallet for personal savings falls under the law. Influencers, educators, and content creators are forced into the same legal net if they mention cryptocurrencies in any capacity.

Why Algeria Went All‑In

The official narrative frames the ban as a defense of monetary sovereignty and a safeguard against money‑laundering, terror financing and “uncontrolled speculation.” The government argues that unregulated digital money could erode confidence in the Algerian dinar and provide a channel for illicit financing. This rhetoric mirrors the Financial Action Task Force (FATF) guidance, which presses jurisdictions to tighten AML/CTF controls around crypto.

Yet the decision also reflects a political calculus: after a 2018 financial‑law amendment that merely banned crypto without penalties, the 2025 law adds teeth. By converting a gray area into a criminal offense, authorities can more easily seize assets, monitor digital traffic, and deter nascent finance innovation that might challenge the state‑run banking system.

Who Enforces the Ban?

Enforcement is a multi‑agency effort:

• Bank of Algeria monitors the financial system for any crypto‑related transactions and works to keep banks from facilitating illicit activity.
• Banking Commission issues compliance directives to commercial banks, ensuring they block any crypto‑related services.
• Financial authorities, under the Ministry of Finance, oversee AML/CTF compliance and flag suspicious crypto movements.
• Security agencies conduct both digital surveillance (monitoring chat apps, social media, VPN traffic) and physical raids on mining farms or illegal exchange offices.
• The judicial system prosecutes offenders, applying the stipulated prison terms and fines.

Because each entity has a legal mandate, the government can pursue offenders from the moment they step into a bank, post a tweet, or run a mining rig.

How the Ban Is Different From Global Trends

Most jurisdictions are moving toward regulated frameworks. The European Union introduced MiCA (Markets in Crypto‑Assets) to bring crypto under a clear licensing regime while protecting investors. The United States relies on a patchwork of SEC, CFTC and FinCEN rules, and countries like the United Arab Emirates and Bahrain are actively licensing exchanges and stable‑coin projects.

Algeria’s approach more closely resembles China's 2021 outright ban, which shut down mining clusters and crypto exchanges nationwide. By choosing a total prohibition, Algeria isolates itself from the global flow of talent, capital, and technology that others are harnessing.

The State of the Algerian Crypto Market Before the Ban

Just a year before Law No. 25‑10, Algeria was a hot spot in the MENA region. A Chainalysis report placed the country among the top five fastest‑growing crypto markets, driven by peer‑to‑peer trade, a youthful population, and cheap electricity that attracted miners.

Local fintech startups were experimenting with DeFi lending, and a handful of crypto‑focused recruiters were seeing a surge in demand for blockchain engineers, compliance officers, and smart‑contract developers. The ban wiped out these nascent ecosystems overnight, prompting many professionals to relocate to more crypto‑friendly environments.

Practical Implications for Individuals and Businesses

Crypto prohibition does not merely target large exchanges; it reaches into daily life:

• Individual holders: Anyone who bought Bitcoin or Ethereum before July 2025 now faces possible imprisonment if the authorities discover the wallet.
• Content creators: YouTubers, blog authors, and TikTok influencers who discuss crypto risk prosecution under the promotion clause.
• Miners: Algeria’s subsidized electricity made mining profitable. All mining rigs must now be shut down, and operators can be fined up to 1,000,000 dinars.
• Wallet and exchange services: Domestic providers are forced to cease operations. International services are blocked by the Bank of Algeria’s payment‑gateway restrictions.
• Financial institutions: Banks must flag any transaction that resembles crypto activity, even if it appears as a regular fiat transfer.

Enforcement in Action - Early Cases

Within weeks of the law’s publication in the Official Journal, authorities announced several high‑profile raids:

• A mining farm in the outskirts of Algiers was seized; the owners were charged with illegal mining and faced a six‑month jail term.
• An online influencer with 150 k followers was detained for a series of tutorial videos on how to buy Bitcoin on peer‑to‑peer platforms.
• A local fintech firm that offered a crypto‑wallet API was fined 800,000 dinars and ordered to shut down its platform.

These actions signal a systematic approach rather than ad‑hoc prosecutions.

What This Means for the Future of Algerian Fintech

With the ban firmly in place, Algeria is unlikely to reverse course soon. The law’s detailed scope and the coordinated enforcement apparatus suggest a long‑term commitment to keeping digital assets off‑limits.

The country risks falling behind the regional fintech race. Neighboring nations such as the UAE and Bahrain are building regulatory sandboxes, attracting blockchain startups, and issuing crypto‑friendly licences. Algeria’s talent exodus and the loss of a growing crypto market could diminish its competitiveness in broader financial‑technology innovation.

How to Stay Safe If You’re in Algeria

1. Delete all crypto wallets and private keys. Even dormant wallets can be used as evidence of possession.
2. Avoid discussing crypto online. Promotion clauses cover public posts, comments, and even private group chats that could be reported.
3. Do not engage with foreign exchanges. Transfers to overseas platforms can trigger AML alerts from the Bank of Algeria.
4. Seek legal counsel immediately if approached by authorities. The penalties are severe, and a qualified attorney can negotiate reduced fines.
5. Consider relocating or switching to a jurisdiction with clear crypto regulations. Many Algerian professionals are moving to Europe or the Gulf region.

Comparative Snapshot: Algeria vs. Select Jurisdictions

Looking Ahead - Will the Ban Last?

Given the law’s alignment with FATF recommendations and the considerable political capital invested in protecting the dinar, a reversal seems unlikely in the short term. However, external pressures-such as the need for foreign investment, the regional fintech race, and the ongoing talent drain-could force Algerian policymakers to reconsider a partial liberalization after a few years.

For now, the safest bet for anyone interested in crypto within Algeria is to stay completely out of the space, or to relocate to a friendlier jurisdiction.