Algeria Fully Bans Cryptocurrencies and VPNs in 2025

Algeria Fully Bans Cryptocurrencies and VPNs in 2025

On July 24, the Algerian government passed Law No. 25-10, which prohibits all cryptocurrency-related activities, including trading, mining, ownership, and any use of digital assets.

What Does Law No. 25-10 Say?

This new law replaces the provisions of a 2018 regulation. While the previous legislation only banned the buying and selling of cryptocurrencies, the new law significantly expands the scope of restrictions.

It explicitly prohibits:

  • Owning cryptocurrencies (such as BTC, ETH, USDT, etc.)
  • Trading in digital assets
  • Mining any form of cryptocurrency
  • Using cryptocurrencies for any purpose within the country
  • Using VPNs or proxy services to bypass online restrictions

Purpose and Rationale Behind the Law

The government justified the ban as a measure to protect Algeria’s financial system and combat money laundering. It also raised concerns over uncontrolled capital outflows.

Authorities responded particularly strongly to reports of cryptocurrencies being used to access offshore iGaming platforms, which are banned under Islamic law and Algeria’s civil code.

Penalties for Breaking the Law

The new law introduces harsher penalties for any involvement with cryptocurrencies. Offenders may face:

Offense Fine Prison Sentence
Trading, owning, or mining $1,500 to $7,700 2 months to 1 year
Using a VPN Up to $3,800 Up to 6 months

Fines are officially issued in Algerian dinars, but USD equivalents are provided for reference.

Enforcement and Oversight

Enforcement will be carried out by several state bodies, including the Ministry of Justice, the Ministry of Interior, and national security agencies. All activity related to IP encryption and crypto assets will be subject to monitoring.

How Will This Affect Algerian Citizens?

Algeria had previously been among the countries with significant informal crypto usage. Many citizens relied on BTC, ETH, and USDT for storing funds or circumventing gambling restrictions. Under the new law, any such activity is now a criminal offense.

The explicit ban on VPNs further restricts access to global crypto platforms, making workarounds virtually impossible.

Conclusion

Law No. 25-10 introduces one of the strictest digital asset regulations in the region. Widespread enforcement and criminal investigations are expected in the coming months. Algerian crypto users should be aware of the significant legal risks now involved.