Digital Asset Market Structure Discussion Draft

On May 5, 2025, House Committee on Financial Services Chairman French Hill; House Committee on Agriculture Chairman G.T. Thompson; House Committee on Financial Services Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence Chair Bryan Steil; and House Committee on Agriculture Subcommittee on Commodity Markets, Digital Assets, and Rural Development Chair Dusty Johnson, released a discussion draft of a bill to establish a regulatory framework for digital assets in the US.

President Trump Issues Executive Order Establishing a Strategic Bitcoin Reserve [Link]

On March 6, 2025, President Donald Trump signed an executive order titled the “Establishment of the Strategic Bitcoin Reserve and U.S. Digital Asset Stockpile.” This initiative marks a significant national security move, aligning digital assets with other key strategic reserves historically maintained by the U.S.—including gold, petroleum, pharmaceuticals, and nuclear materials.

The order mandates the creation of specialized offices within the U.S. Department of the Treasury, tasked with managing and safeguarding Bitcoin and other digital assets. These assets may include those obtained through civil or criminal asset forfeiture or as part of penalties enforced by federal agencies.

Additionally, the Secretaries of the Treasury and Commerce have been directed to formulate and implement budget-neutral strategies for increasing the federal government’s holdings of digital assets. These efforts must not create additional financial burdens for American taxpayers.

Furthermore, within 30 days of the order’s issuance, the head of every federal agency is required to submit a detailed inventory of all Bitcoin and other digital assets currently under their custody to the Secretary of the Treasury and the President’s Working Group on Digital Asset Markets.

President Trump Issues Executive Order on Digital Assets [Link]

On January 23, 2025, President Donald Trump signed an executive order titled “Strengthening American Leadership in Digital Financial Technology.” This order underscores the administration’s recognition of digital assets as a cornerstone of U.S. innovation, economic competitiveness, and global financial leadership.

The order outlines a national commitment to advancing the responsible development and deployment of digital assets, blockchain technologies, and other emerging financial technologies across every sector of the economy. It signals a deliberate and strategic push to ensure the United States remains at the forefront of digital financial infrastructure.

As part of the directive, the executive order establishes the Presidential Working Group on Digital Asset Markets under the National Economic Council. Within 30 days of the order, member agencies of the Working Group are required to conduct a comprehensive audit of all existing regulations, policy directives, guidance documents, and other federal instruments that influence the digital asset sector.

Within 60 days, each participating agency must provide the chair of the Working Group with formal recommendations—either to revise, rescind, or update these instruments. For non-regulatory items, agencies may propose incorporating them into formal rulemaking frameworks. The objective is to streamline regulatory oversight while fostering a more innovation-friendly environment for digital financial technologies.

Financial Innovation and Technology for the 21st Century Act (FIT21) [H.R. 4763]

On May 22, 2024, the House passed H.R. 4763, the Financial Innovation and Technology for the 21st Century Act (FIT21). FIT21 would create a regulatory regime for the digital asset industry apportioning regulatory authority with respect to digital assets between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), and clarifying the respective jurisdictions of the two agencies. The CFTC would be granted plenary authority over spot market digital asset commodities, while the SEC would maintain authority over restricted digital assets (i.e., digital assets that constitute securities)

Expressing Support for Blockchain Technology and Digital Assets [H.Res. 111]

The resolution expresses the sense of the US House of Representatives (the House) that blockchain technology offers significant opportunities for innovation, enhances efficiency in various sectors, and can contribute to economic growth. It also encourages a regulatory environment that supports and promotes the development and adoption of blockchain technology in the United States.

Securing Innovation in Financial Regulation Act [H.R. 9633]

This discussion draft establishes the SEC Strategic Hub for Innovation and Financial Technology (FinHub). This will assist the agency with its approach to technology and coordinate the SEC’s response to emerging technologies in financial, regulatory, and supervisory systems. The draft also establishes LabCFTC in the CFTC, which will serve as an information source for the CFTC on FinTech innovation.

Bridging Regulation and Innovation for Digital Global and Electronic (BRIDGE) Digital Assets Act [H.R. 9579]

This discussion draft establishes a Joint CFTC-SEC Advisory Committee on Digital Assets composed of digital asset marketplace stakeholders. Among its many duties, the Joint Advisory Committee will provide recommendations to the CFTC and the SEC regarding their respective promulgation of rules for digital assets. The draft also requires the CFTC and the SEC to publicly respond to any recommendations made by the Joint Advisory Committee.

Financial Innovation and Technology for the 21st Century Act (FIT21) [H.R. 4763]

On May 22, 2024, the House passed H.R. 4763, the Financial Innovation and Technology for the 21st Century Act (FIT21). FIT21 would create a regulatory regime for the digital asset industry apportioning regulatory authority with respect to digital assets between the CFTC and the SEC, and clarifying the respective jurisdictions of the two agencies. The CFTC would be granted plenary authority over spot market digital asset commodities, while the SEC would maintain authority over restricted digital assets (i.e., digital assets that constitute securities).

Digital Asset Market Structure Bill of 2023

On June 2, 2023, Patrick McHenry, chairman of the House Financial Services Committee, and Glenn Thompson, chairman of the House Committee on Agriculture, published a discussion draft of legislation (the Proposed Bill) that seeks to close regulatory gaps and provide a “functional framework” for digital asset regulation in the US. Unlike several other proposed crypto-focused laws around the world, most notably MiCA in the EU, this Proposed Bill largely draws on existing legal frameworks and standards rather than creating an entirely new regime specifically for regulating cryptoassets. The Proposed Bill grants regulatory authority to the CFTC and the SEC and clarifies the jurisdictional scope between the two agencies. The CFTC would be granted explicit authority over spot market digital asset commodities, while the SEC would maintain authority over digital assets offered as part of an investment contract (i.e., securities). While the Proposed Bill would exclude payment stablecoins from the definition of digital commodity under the Commodity Exchange Act (CEA), the CFTC would still be granted jurisdiction over transactions in payment stablecoins “as if” they were digital commodities when transacted on a CFTC-registered entity.

Responsible Financial Innovation Act [S. 2281]

On June 10, 2022, US Senators Cynthia Lummis from the Senate Banking Committee and Kirsten Gillibrand from the Senate Agriculture Committee introduced legislation to create a framework for digital assets, cryptocurrency, and blockchain technology. The much-anticipated bipartisan bill, titled the Responsible Financial Innovation Act (RFIA), is the most ambitious digital asset bill yet put forward to Congress, and covers a broad range of topics. The legislation is designed to balance innovation and responsibility, and seeks to safely integrate digital assets into the existing regulatory fold through definitional and jurisdictional clarity. The sponsors have called the legislation no less than “a complete regulatory framework for digital assets,” although it is by many estimates a work in progress that will benefit from public debate and input.

Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act of 2025 [S. 394]

The GENIUS Act defines a payment stablecoin as a digital asset used for payment or settlement that is pegged to a fixed monetary value; establishes clear procedures for institutions seeking licenses to issue stablecoins; implements reserve requirements and light-touch, tailored regulatory standards for stablecoin issuers; for issuers of more than $10 billion of stablecoins, applies the Federal Reserve’s regulatory framework to depository institutions and the Office of the Comptroller of the Currency’s (OCC) framework for non-bank issuers; allows for state regulation of issuers under $10 billion in market capitalization and provides a waiver process for issuers exceeding the threshold to remain state-regulated; and establishes supervisory, examination, and enforcement regimes with clear limitations.

Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE) Act of 2025 [H.R. 2392]

This discussion draft provides a clear regulatory framework for issuing payment stablecoins. The discussion draft protects consumers by establishing necessary federal guardrails for payment stablecoin issuance, redemption, and reserves, while fostering innovation in the US through a tailored approach for new entrants into the marketplace.

On March 26, 2025, A revised bill was introduced in the House. And on April 2, 2025, the House Financial Services Committee held a consideration and mark-up session, and advanced the bill for consideration by the overall House.

House Financial Services Committee Democrats, led by Congresswoman Maxine Waters, severely criticized the Bill.

Waters Stablecoin Act of 2024 [H.R.]

This bipartisan bill would, among other things, create a regulatory framework for both depository institution stablecoin issuers as well as non-bank stablecoin issuers with a central role for the Federal Reserve throughout, that includes strong reserve requirements; protect the separation of banking and commerce by prohibiting non-financial commercial companies from owning a stablecoin issuer; explicitly subject issuers to sanctions laws and requires compliance with anti-money laundering and counter terrorist financing laws; include robust protections for consumer wallets, including risk management and financial resource requirements, as well as back-up examination and enforcement authority for the Federal Reserve; and protect the existing authorities of the US Department of the Treasury (Treasury), the Consumer Financial Protection Bureau (CFPB), SEC, and CFTC with respect to any entity covered by the Act to the extent they engage in activities subject to their oversight and jurisdiction.

Clarity for Payment Stablecoins Act of 2023 [H.R. 4766]

On April 15, 2023, the US House Financial Services Committee published a draft bill on the regulation of stablecoins in anticipation of a hearing by its Subcommittee on Digital Assets, Financial Technology and Inclusion (Subcommittee) on April 19.

Lummis-Gillibrand Payment Stablecoin Act [S. 4155]

On April 17, 2024, US Senators Cynthia Lummis from the Senate Banking Committee and Kirsten Gillibrand from the Senate Agriculture Committee introduced proposed legislation to create a US regulatory framework for stablecoins. The bipartisan Lummis-Gillibrand Payment Stablecoin Act (the Bill) seeks to promote responsible innovation and preserve US dollar dominance, while protecting consumers and digital asset market participants. The Bill supersedes the pair’s 2022 proposed RFIA, at least with regard to stablecoins. The RFIA proposed a complete regulatory framework for digital assets more generally, whereas the current Bill focuses on the comprehensive regulation of payment stablecoins. As defined by the Bill, a “payment stablecoin” would be any cryptoasset “that is, or is designed to be, used as a means of payment or settlement,” and the issuer of which is obligated to redeem the asset for a fixed amount of US dollars or “represents, or creates the reasonable expectation, that the crypto asset will maintain a stable value relative to the value of a fixed amount of United States dollars.” Accordingly, the Bill does not purport to regulate stablecoins denominated in or redeemable for non-US currencies or other assets.

Evaluating DeFi Opportunities Act [H.R. 9758]

This discussion draft would require the Secretary of Treasury, in coordination with the SEC and CFTC, to issue a report on decentralized finance. The draft also requires a separate report by the GAO to be submitted within one year to the relevant committees.

Regulatory Status: Legal

The Financial Conduct Authority (FCA) has been creating and updating crypto-asset regulation in the UK. The country is ranked 12th in crypto adoption globally.

Timeline

In 2018, the UK formed a crypto-asset taskforce, and the FCA laid out regulatory guidance based on the findings of the taskforce in 2019. FCA’s guidance CP 19/3 and PS 19/22 lay out the different market participants in the crypto-asset ecosystem and the kinds of activities that will be regulated, and recognizes three broad categories of crypto-assets: e-money, security and unregulated tokens. Most popular tokens, including stablecoins, fall in the latter category – their sale, purchase and exchange is not currently regulated by the FCA. This led to the introduction of the Financial Services and Markets bill in the UK Parliament. In October 2022, the House of Commons voted to pass the bill, which contains provisions on stablecoin and cryptocurrency to be regulated by the Financial Conduct Authority under the Financial Services and Markets Act of 2000. In January 2023, His Majesty’s Treasury launched a consultation process and announced its intention to update crypto-asset regulations. In April 2025, HM Treasury published draft legislation to formally bring cryptoasset activities—including trading, custody, lending, and stablecoin issuance—under the UK’s financial regulatory framework. The proposed rules require firms engaging in these activities to obtain FCA authorization and comply with standards on governance, risk management, and consumer protection. Fiat-backed stablecoins used for payments will be regulated similarly to e-money, while overseas issuers may face lighter requirements if they have no UK presence.

Regulatory Status: Legal

Australia began regulating crypto-assets in 2014. It has existing taxation, licensing and consumer protection regulations, and is working on further regulatory frameworks for Digital Asset Platforms and Payment Service Providers. Australia is ranked 39th in crypto adoption globally.

Timeline

Australia began regulating crypto-assets by imposing capital gains and income taxes on certain crypto asset transactions in 2014. In 2017, legislation expanded AML/CFT rules to cover crypto asset exchanges and service providers, who are required to register, identify and verify customers, and maintain records. The Australian Securities and Investments Commission introduced a number of new regulations in 2019 that required companies transacting in crypto-assets to obtain a license, the first of which was granted to BTC Markets in 2022. Later that year, the Australian Senate’s Bragg Report made 12 recommendations for improving the country’s crypto-asset regulatory environment. Going forward, the Australian government intends to release in 2023 new licensing and custody rules for service providers, following on the publication of its Token Mapping Consultation Paper in February. In 2025, Australia published a high-level white paper presenting a new licensing structure for digital asset provider and an enhanced regulatory sandbox.

Regulatory Status: Legal

Spain’s regulatory framework has mostly consisted of national adaptations of EU legislation, including 5AMLD and the upcoming MiCA bill. The Spanish securities regulator (CNMV) will be responsible for the implementation of MiCA and other EU regulations in Spain. The country is ranked 25th in crypto adoption globally.

Timeline

On April 27, 2021, the Spanish government adopted 5AMLD into national law through the Royal Decree-Law 7/2021. This Decree-Law is an amended version of Law 10/2010. On June 3, 2021, 6AMLD came into effect across the EU. Law 11/2021, passed on July 9, 2021, included two new tax reporting obligations for companies working with cryptocurrencies in Spain. Circular 1/2022, passed on January 10, 2022, created new guidelines for the advertising of crypto-assets. The approval of MiCA on April 20, 2023 is expected to introduce a new, comprehensive set of regulations by mid-2024 to 2025. This will be accompanied by the new Transfer of Funds regulation, which was approved on the same day. In March 2025, Spain’s second largest bank, BBVA, received the approval to offer bitcoin and ether trading to its clients.

Regulatory Status: Legal

Portugal began regulating crypto-assets in 2017 through AML/CFT legislation and has since established licensing and taxation frameworks for crypto-related services. Portugal recognizes and regulates crypto-assets under the European Union’s Markets in Crypto-Assets (MiCA) Regulation. While MiCA came into effect December 2024, Portugal is still the process of aligning its national legal framework with its provisions. The country ranks 50th in crypto adoption globally.

Timeline

Portugal began regulating crypto-assets in 2017 with the adoption of Law No. 83/2017, which brought virtual asset activities under the scope of anti-money laundering and counter-terrorism financing laws, placing supervisory authority with the Bank of Portugal. In 2021, the Bank formally launched a registration regime for crypto companies, issuing its first licenses to platforms such as Criptoloja and Mind the Coin. By 2022, several more VASPs were licensed, including Utrust and Bison Ativos Digitais. By December 30, 2024, MiCA became applicable across the EU, requiring crypto-asset service providers (CASPs) to obtain authorization under Articles 59 et seq. of Regulation (EU) 2023/1114. The Bank of Portugal clarified on January 3, 2025, that existing registered entities could continue operations during the transitional period, which extends until July 1, 2026, or until they are granted or refused authorization under MiCA. Entities not registered before December 30, 2024, are prohibited from operating until national legislation designates the competent authority for MiCA implementation.

Regulatory Status: Legal

France updated its cryptocurrency regulations for the first time in 2014. The European Council approved the Market in Crypto-Assets (MiCA) bill, which took effect in June 2023. France is ranked 22nd in crypto adoption globally.

Timeline

In 2013, the French central bank issued a brief report warning of the risks posed by virtual currencies. The French government’s first step to regulate cryptocurrency came in 2014, when the Prudential Supervision and Resolution Authority required that exchanges obtain a license to provide payment services. This was followed in 2017 and 2018 by the introduction of a regulatory framework for ICOs and the passage of Ordinance No. 2017-1674, which defined certain crypto-assets as securities. In 2019, the PACTE ACT was passed, establishing a new regulatory framework for digital assets. The new head of the Financial Markets Authority stated in January 2023 that she favors stricter regulations, including mandatory registration for cryptocurrency companies. On October 5, 2022, the European Council approved the Market in Crypto-Assets (MiCA) bill, which outlines comprehensive regulations for crypto markets in all European Union member countries. The bill defines crypto-assets and puts in place new rules to prevent money laundering, protect consumers, and address environmental impacts. MiCA took effect in June 2023.

Regulatory Status: Legal

Switzerland has established a comprehensive and mature regulatory framework for crypto-assets. The Swiss Financial Market Supervisory Authority (FINMA) oversees licensing, AML/CFT, and consumer protection measures. While private investors benefit from favorable tax treatment, including exemptions from capital gains tax, crypto service providers must comply with strict AML and licensing requirements. The country ranks 55th in crypto adoption globally.

Timeline

Crypto-asset regulation was first introduced in 2013, after the establishment of “Crypto Valley” in Zug and it soon became the first city to accept Bitcoin for municipal services. In 2018, FINMA published guidelines on initial coin offerings (ICOs), classifying tokens into payment, utility, and asset categories. In 2019, FINMA issued a supplement to its ICO guidelines, outlining its approach to stablecoins under Swiss supervisory law. In that same year, FINMA issued a guidance on the application of the FATF Travel Rule to VASPs and implemented the rule in 2020. This was followed by the Swiss Parliament enacting the “Blockchain Act in 2020”, which provided a legal framework for trading crypto-assets and the “DLT Act,” which provided a similar framework for distributed ledger technology and tokenized securities. In 2021, FINMA approved the first Swiss crypto fund to gives qualified investors the opportunity to invest in the leading cryptocurrencies included in the Crypto Market Index 10, a product administered by the SIX Swiss Exchange. In 2025, Switzerland announced plans to adopt the OECD’s Crypto-Asset Reporting Framework (CARF) starting in 2026, requiring crypto service providers to report non-Swiss clients to the Swiss Federal Tax Administration.

Regulatory Status: Legal

Italy has been regulating crypto-assets since 2017. The European Council approved the Market in Crypto-Assets (MiCA) bill, which took effect in June 2023. Italy is currently aligning its regulatory framework with MiCA. Italy is ranked 37th in crypto adoption globally.

Timeline

Legislative Act No. 90, which states that cryptocurrencies can be used as a medium of exchange, was passed in 2017 and constitutes Italy’s first significant attempt to clarify crypto’s legal status. In 2021, the MEF passed a decree establishing a regulatory sandbox to experiment with fintech regulations, including those related to crypto-assets. The next year, legislation was passed to extend Italy’s AML rules to crypto-asset service providers and to require registration for any firm that transacts in crypto-assets. On October 5, 2022, the European Council approved the Market in Crypto-Assets (MiCA) bill, which outlines comprehensive regulations for cryptocurrency markets in all European Union member countries. The bill defines crypto-assets and puts in place new rules to prevent money laundering, protect consumers, and address environmental impacts. MiCA took effect in June 2023, with its provisions on stablecoins following in June 2024. Italy is in the process of integrating MiCA into its regulations.

Regulatory Status: Legal

Cryptocurrencies are legal and regulated under the Markets in Crypto-Asset Act, passed in 2024 in order to bring Malta’s crypto regulations in line with the EU’s MiCA regulation. The country’s friendly tax laws and clear crypto-regulations give it a reputation for being “crypto-friendly.” Malta is ranked 135th in crypto adoption globally.

Timeline

In 2018, Malta passed three laws that form the basis of cryptocurrency legislation: the Digital Innovation Authority Act, the Innovative Technology Arrangements and Services Act, and the Virtual Financial Assets Act. The Regulations on the Prevention of Money Laundering and the Financing of Terrorism were also passed in 2018, an updated version of the Law on the Prevention of Money Laundering passed in 1994. In November 2024, Malta enacted the Markets in Crypto-Assets Act (ACT No. XXXVI of 2024). bringing the country fully in-line with the EU’s MiCA Regulation. The act will also phase out and replace the VFA.

Regulatory Status: Legal

Prior to the adoption of the Market in Crypto-Assets (MiCA) bill by the European Union, Greece had not set a regulatory framework for crypto-assets. MiCA took effect in June 2023. Greece is ranked 61st in crypto adoption globally.

Timeline

As a member of the European Union, Greece is expected to align its regulatory framework for crypto-assets with Market in Crypto-Assets (MiCA). In January 2025, the country’s Ministry of National Economy and Finance announced plans to implement MiCA in Greece. It also plans to adopt legislation that will tax crypto-assets as investment products.

Regulatory Status: Legal

Crypto assets are legal in Bulgaria. The country is typically seen as “crypto-friendly” thanks to its clear regulatory environment and low taxation rates. Bulgaria is ranked 53rd in crypto adoption globally.

Timeline

In 2018, the National Bank of Bulgaria (BNB) issued a statement aligning with the European supervisor authorities cautioning on the risks of engaging in cryptocurrency-related activities. Despite advising caution, the country has been proactive in regulating crypto currency. The National Revenue Agency announced it’s first guidance on crypto-asset taxation in 2014. Bulgaria also incorporated virtual asset providers under its AML/CFT frameworks in 2020. Bulgaria is expected to adopt the draft Crypto Assets Act sometime in Summer 2025. The act will bring Bulgaria’s regulatory regime in line with the European Regulation on Markets in Crypto Assets (MiCA).

Regulatory Status: Legal

In Germany, there are licensing procedures for cryto-asset providers. The European Council approved the Market in Crypto-Assets (MiCA) bill, which took effect in June 2023. Germany is ranked 21st in crypto adoption globally.

Timeline

The Money Laundering Act was amended in 2017 to extend to crypto-asset custodians and exchanges, a preliminary step towards cryptocurrency regulation. The following year, the Finance Ministry indicated that income from exchange and custodian service provision may be subject to a value-added tax. In 2020, BaFin issued guidance requiring exchanges and custodians to obtain a license. On October 5, 2022, the European Council approved the Market in Crypto-Assets (MiCA) bill, which outlines comprehensive and streamlined regulations for crypto markets in all European Union member countries. The bill defines crypto-assets and puts in place new rules to prevent money laundering, protect consumers, and address environmental impacts. The bill establishes a licensing regime for exchanges and wallet providers, and creates reserve requirements for fiat-backed stablecoins. MiCA took effect in June 2023, with provisions for stablecoins taking effect in June 2024.

Regulatory Status: Legal

Hungary does not have any cryptocurrency-specific regulations in place. As a member state of the European Union, crypto-asset activity must comply with the Market in Crypto-Assets (MiCA) bill. MiCA took effect in the EU in 2023. The country ranks 60th in global crypto-asset adoption.

Timeline

Hungary previously placed a 22% health contribution tax and 15% personal income tax on both cryptocurrency mining and transactions. However, in June 2021, Hungary accepted a new tax package that abolished the social contribution tax, leaving the personal income tax intact. On October 5, 2022, the European Council approved the Market in Crypto-Assets (MiCA) bill, which outlines comprehensive regulations for crypto markets in all European Union member countries. The bill defines crypto-assets and puts in place new rules to prevent money laundering, protect consumers, and address environmental impacts. MiCA entered into force in June 2023, with provisions on stablecoins taking effect in June 2024.

Regulatory Status: Legal

Cryptocurrencies are not legal tender in Denmark but transacting and trading with cryptocurrency is legal. Denmark has an established regulatory regime and is compliant with broader EU regulations. Denmark is ranked 103rd in crypto adoption globally.

Timeline

The Danish Financial Supervisory Authority is the primary regulatory body overseeing crypto-assets in Denmark, with regulations influenced by EU law, including an amendment in January 2020 to define virtual currency as a digital representation of value accepted for exchange but not issued or guaranteed by a central authority. Denmark amended its AML Act in 2020 to align with EU’s AMLD5 requirements for virtual currencies. Issues with tax evasion are underwrite Denmark’s shifting taxation landscape. The Danish Financial Supervisory Authority is tasked with implementing the regulations and necessary changes mandated by the EU’s MICA regulation.

Regulatory Status: Legal

In November 2024, the Netherlands passed a law aligning its regulatory system with the EU’s MiCA regulation. The country is ranked 32nd in crypto adoption in the world. Netherlands is ranked 16th in crypto adoption globally.

Timeline

On Jan. 10, 2020, the EU-wide Fifth Money Laundering Directive came into effect.On May 21, 2020, the Netherlands adopted AMLD5 into national law through the Wet ter voorkoming van witwassen en financieren van terrorisme (WwFT). In Nov 2024, implementation Act on the Crypto Assets Regulation was passed designating the Dutch Financial Markets Authority as the competent authority and aligning the country’s regulations with the EU’s MiCA regulation.

Regulatory Status: Legal

Crypto assets are legal in Ireland, and the country has been actively working on regulation to align with European Union directives and international standards. Key developments included the implementation of AML/CFT requirements in January 2020, and since then Ireland has established licensing requirements and a taxation framework. Crypto-asset service providers in Ireland are subject to the European Union’s Market in Crypto-Assets (MiCA) bill, which took effect in June 2023. Ireland is ranked 102nd in crypto adoption globally.

Timeline

Crypto-asset regulation in Ireland has evolved gradually, with initial interest in the early 2010. It gained significant traction with the European Union’s Fifth Anti-Money Laundering Directive (5AMLD) in 2020, which brought crypto-related businesses under regulatory oversight. As a member of the European Union, Ireland falls under the jurisdiction of the Market in Crypto-Assets (MiCA) bill. Most provisions of this legislation took effect in June 2023, and provisions on stablecoins took effect in June 2024.

Regulatory Status: Legal

Poland is expected to implement a draft law in Summer 2025 that would align the country’s crypto regulations with the EU’s MiCA regulation. Poland has been relatively slow to implement the changes, compared to other European economies. Poland is ranked 24th in crypto adoption globally.

Timeline

The Polish AML Act was passed on March 1, 2018. On November 1, 2021, the register of cryptocurrency companies operating in Poland was launched by the Ministry of Finance. The registration system was established by amended its AML Act to include the EU’s 5MLD Despite the approval of MiCA on April 20, 2023, Poland has yet to pass a law aligning the country’s regulations with MiCA. However, it is expected to do so in Summer 2025. Poland ranks 24 on crypto adoption.

Regulatory Status: Legal

Romania is in the process of aligning its national laws to the European MiCA regulation. Romania ranks 65th in crypto adoption.

Timeline

On July 1, 2020, the Romanian government adopted 5AMLD into national law through the Emergency Ordinance No. 111/2020, referred to as the GEO. This Emergency Ordinance is an amended version of Law No. 129/2019. On June 3, 2021, 6AMLD came into effect across the EU. Following the approval of MiCA at the EU level, Romania has passed legislation to align its regulatory framework with the legislation.

Regulatory Status: Legal

Cryptocurrencies are not legal tender in Croatia, but Croatia’s definition of virtual currencies allows for cryptocurrencies to be transferred and traded. Croatia is ranked 91st in crypto adoption globally.

Timeline

In 2017, the National Bank of Croatia (CNB) emphasized that cryptocurrencies are not considered a legal means of payment, nor are they recognized as foreign currency or foreign payment instruments. As a member of the European Union, Croatia is expected to implement MiCA.

Regulatory Status: Legal

Canada was the world’s first country to enact crypto-asset legislation. Since 2017 it has developed a licensing mechanism, an AML/CFT framework, and consumer protection regulations. Canada is ranked 18th in crypto adoption globally.

Timeline

Canada was the world’s first country to enact legislation on crypto-assets. The legislation extended Canada’s AML/CFT framework to include those dealing in crypto-assets. In 2017, the Canadian Securities Administrators (CSA) issued guidance for ICOs and ITOs. The CSA in 2020 took a further step towards regulating cryptocurrency issuance and exchange when Wealthsimple became the first Canadian crypto exchange authorized through the CSA regulatory sandbox. Additional regulations to the AML/CFT framework were put in place in 2020 and 2021. These changes required companies transacting in cryptocurrency to keep records of all cross-border transactions, report suspicious activity, and register with local regulators.

Regulatory Status: Partial Ban

Financial institutions are prohibited from offering custody, exchange, or transmission services for crypto-assets and they are prohibited from issuing stablecoins, barring approval from Banxico. Mexico ranks 14th in crypto adoption globally.

Timeline

Mexico’s initial step to regulate crypto-assets came with the passage of the Fintech Law in 2017, which outlined a regulatory approach and established a regulatory sandbox. The law required that exchanges and service providers register and report transactions over a certain amount to the Financial Intelligence Unit. In 2018, Mexico’s AML law was amended to include virtual asset transactions. Mexico’s Central Bank has expressed skepticism about crypto-assets. In 2019, the Central Bank issued Circular 4/2019 outlining the features that virtual assets must have in order to be used by financial institutions. The next year, the Central Bank indicated again that it does not support the use of crypto-assets and called for further regulations. In 2021, the Finance Ministry clarified that financial institutions are not permitted to use or transact in crypto-assets. Despite, the countries prohibitive stances, Mexico ranks 14th in crypto adoption.

Regulatory Status: Partial Ban

In Moldova, crypto-assets are banned for payments and transactions but investments and personal holdings remain legal. Crypto mining is also remains banned due to energy shortages. Moldova ranks 59th in crypto adoption globally.

Timeline

Until 2023, crypto-assets were not formally addressed in legislation, allowing informal use in the country without oversight. This changed with the adoption of Law No. 66 on March 30, 2023, which prohibited both individuals and legal entities from engaging in crypto-asset transactions, including payments and exchanges. The law came into force on July 1, 2023, effectively banning the use of crypto-assets for financial operations within the country. Despite this, Moldova signaled a potential policy shift in March 2025, when national authorities, with support from the Council of Europe, began formal discussions on developing a regulatory and supervisory framework for virtual asset service providers aligning with EU standards and FATF recommendations.

Regulatory Status: Legal

A bill regulating AML/KYC procedures and fraud protection and enforcement is awaiting final approval from the Brazilian chamber of deputies and President. Brazil is ranked 10th in crypto adoption globally..

Timeline

Brazilian lawmakers had been trying to initiate a cryptocurrency bill in the Parliament since 2015. In April 2022, the bill passed the Brazilian Senate and it is currently awaiting approval from the Chamber of Deputies and the President. The bill says that the regulatory jurisdiction for cryptocurrencies will lie with the executive bodies – either a newly created one or the Central Bank and the SEC. The bill sets up best practices for AML/KYC procedures and fraud protection and enforcement. The newly elected President Lula is said to favor the Central Bank as the main authority on cryptocurrencies. In December 2022, Brazil published Law 14.478, which provides new guidelines for virtual asset service providers (VASPs) and defines crime and fraud using virtual assets. In June 2023, President Lula da Silva signed government decree No. 11.563 into law. The law authorizes the Central Bank of Brazil to regulate and supervise VASPs and ensures many token projects that qualify as securities will continue to fall under the purview of the Brazilian Securities and Exchange Commission. In May 2024, the Central Bank of Brazil announced that it plans to share proposals for the regulation of cryptocurrency and VASPs by the end of 2024. However, the central bank has not released the proposals yet.

Regulatory Status: Partial Ban

Cryptocurrencies are legal for trade and investment, but banned for use in payments. Thailand is ranked 16th in crypto adoption globally..

Timeline

In 2018, the SEC passed the Emergency Decree on Digital Asset Businesses, which laid out the licensing, disclosure and legal requirements for issuing, distributing or carrying on service provisions using cryptocurrencies. In 2021, the Bank of Thailand expressed intentions to discuss stablecoin regulation. Baht-pegged stablecoins are considered e-money under the Payments Act of 2017. In 2022, the SEC clarified that cryptocurrencies could not be used as a means of payment in Thailand, and business operators must not provide such payments options to users. In 2023, following the collapse of FTX, Thai regulators announced their intention to tighten regulations and issued new rules for custodians. Starting January 2025, Thaiiland will pilot cryptocurrency payments for tourists in Phuket. In March 2025, the SEC approved Tether’s USDT and Circle’s USDC as eligible cryptocurrencies for trading on regulated exchanges, expanding the list of approved digital assets. In April, Thailand expanded consumer protections with stricter rules on crypto advertising, custody, and marketing approvals. This new legal framework also targets foreign, unregulated peer-to-peer (P2P) crypto platforms to combat online financial crime.

Regulatory Status: Partial Ban

Cryptocurrencies are legal but they cannot be used for payments. Despite legal ambiguity, Russia has an active domestic crypto-asset market, ranking 7th on the global adoption index.

Timeline

In 2020, legislation was passed in Russia banning the use of cryptocurrencies as a means of payment. The law did not ban cryptocurrency trading or mining. In 2022, the Finance Ministry introduced a bill to regulate cryptocurrency against the preferences of the Central Bank, which maintained a stance of a general ban on cryptocurrencies. The Finance Ministry has expressed an interest in legalizing cross-border transactions while banning domestic transactions. In August 2024, Putin signed a law that legalized cryptocurrency mining in Russia. The law regulates both individual miners and legal entities. The law also permits foreign digital financial asset trading on Russian platforms. In March 2025, Bank of Russia announced it would create a crypto trading platform for qualifying investors.

Regulatory Status: Legal

Japan has a well-developed regulatory environment for crypto-assets, which includes regulations for exchanges and custodians. Japan is ranked 23rd in crypto adoption globally.

Timeline

In 2017, the National Tax Agency ruled that cryptocurrency trading gains are to be classified as miscellaneous income and taxed accordingly. In 2020, amendments to the Payment Services Act and the Financial Instruments and Exchange Act eased regulation of crypto-asset derivative trading and introduced new registration requirements for custodians and exchanges. The Japanese Virtual Currency Exchange Association and the Japan Security Token Offering Association were created in 2020 to promote self-regulation in the cryptocurrency sector. Registered exchanges are members of the JVCEA and the JSTOA comprises five major financial institutions. Both entities screen applicants for registration, provide guidance to new actors, and help ensure compliance. As a result of large consumer losses from unregulated exchanges, Japan has also developed a regulatory regime for exchanges to operate in the country. This includes separation of customer and company assets, trade margins for investors and how assets are stored. In December 2022, Japan’s government approved a proposal to exempt token issuers from certain corporate taxes.

Regulatory Status: Partial Ban

Domestic companies and residents are banned from offering assets via an ICO. Margin trading of crypto-assets is illegal. South Korea is ranked 19th in crypto adoption globally. Crypto-asset regulation is set to play a role in the 2025 presidential election.

Timeline

South Korea began to regulate crypto-assets in 2017, when regulators announced that domestic companies were prohibited from participating in ICOs and banned margin trading of crypto-assets. In 2018, the Financial Services Commission passed new regulations requiring that all crypto trading be done using a real name bank account. Additional changes to Korea’s AML framework were put in place in 2020, requiring all exchanges and virtual asset service providers to obtain a license from the Korea Financial Intelligence Unit and the Korea Internet and Security Agency. The following year, South Korea’s National Assembly deferred the imposition of taxes on crypto-asset trading profits until 2023, when a 20% will be levied on cryptocurrency profits above a certain value. In 2025, regulators announced that the tax will be delayed until 2028 given political and economic instability. South Korean legislators and financial regulators are in the process of developing investor protection rules and a more comprehensive update to the legal framework surrounding crypto-assets. In the second half of 2025, South Korea plans to introduce registration and reporting requirements for cross-border transactions of virtual assets, including in crypto assets.

Regulatory Status: Partial Ban

Crypto assets cannot be used as a means of payment in Taiwan.

Timeline

Taiwan announced its position on crypto-assets in 2013, when the government stated that Bitcoin should not be considered a currency. In 2018, Taiwan revised its Money Laundering Control Act (MLCA) to allow the government to regulate virtual currency platforms. In 2021, the Financial Supervisory Commission (FSC) issued a press release allowing crypto asset exchanges and trading platforms until July to fully comply with the MLCA and other existing anti-money laundering regulations. In November 2024, the FSC introduced a strict AML compliance registration system for crypto exchanges. Taiwan ranks 40th in crypto adoption globally.

Regulatory Status: Legal

Hong Kong is looking to establish itself as a world-class destination for the crypto-economy. Consequently, it maintains a robust and clear regulatory framework and is working towards expanding its attractiveness. Hong Kong is ranked 30th in crypto adoption globally.

Timeline

In 2018, the SFC issued a warning on cryptocurrency risked and announced it’s intention to introduce regulations, shortly after implementing a licensing regime for virtual asset trading platforms. In 2020, the Inland Revenue Department clarified taxation on virtual assets. In June 2023, under amendments to the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615), Hong Kong implemented a new mandatory licensing regime for virtual asset trading platforms. The prior regime was not mandatory; license holders were give a one-year period to transition. In April 2024, Hong Kong approved its first spot bitcoin ETFs, becoming the first Asian city to do so. In February 2025, the SFC introduced the A-S-P-I-Re roadmap to enhance its status as a destination for virtual asset economy. The roadmap includes plans to establishing licensing regimes for other crypto services, implement safeguards, diversify virtual asset offering, improve infrastructure, and improve “relationships” in the ecosystem.

Regulatory Status: Legal

In Malaysia, crypto-assets are considered securities and regulated by the securities commission. Malaysia ranks 47th in crypto adoption globally.

Timeline

The Malaysian central bank (BNM) stated in 2014 that Bitcoin is not recognized as legal tender in Malaysia. Digital assets in Malaysia are considered securities and are subject to Malaysia’s securities laws, enforced by the Securities Commission Malaysia (SCM) under the Capital Markets and Services Order 2019. In 2020, Malaysia released a list of four registered and approved digital asset exchange operators.

Regulatory Status: Legal

Since 2016, the Monetary Authority of Singapore (MAS) has established regulatory authority over crypto-assets.

Timeline

Singapore is ranked 75th in crypto adoption globally. Since 2013, the Monetary Authority of Singapore (MAS) has been warning consumers and businesses of the risks associated with digital currency and virtual transactions. After the crypto boom of 2016, MAS reestablished that it had regulatory authority over the issuance of digital tokens because it fell under the definition of “capital market products”. Singapore’s Payment Service Act of 2019 allows the MAS to oversee cryptocurrency exchanges, distribute licenses, and issue AML/CFT requirements. In 2020, the Inland Revenue Authority of Singapore (IRAS) ruled that GST taxes would no longer apply to cryptocurrencies. MAS also introduced customer protection regulations in 2022. Starting 2023, MAS began regulating stablecoins by introducing regulations around reserve management and consumer protection.

Regulatory Status: Legal

The UAE cabinet has recently made a series of regulations on the licensing and regulation of digital assets. Enforcement of regulatory and licensing requirements is carried out by the Securities and Commodities Authority, as well as local regulatory bodies. In the Emirate of Dubai, Dubai Virtual Assets Regulatory Authority oversees the activities of VASPs. The UAE is ranked 56th in crypto adoption globally.

Timeline

Law No. (4) of 2022 Regulating Virtual Assets in the Emirate of Dubai established the Dubai Virtual Assets Regulatory Authority (VARA). VARA is responsible for the regulation and supervision of virtual assets, including the licensing of VASPs. Another objective of VARA is to promote Dubai as an international hub for virtual assets and the digital economy. Cabinet Decision No. 111/2022 on the Regulation of Virtual Assets and Their Service Providers sets the requirements for operating in the UAE as a VASP. Entities engaged in virtual asset activity must obtain a license from the Securities and Commodities Authority (SCA) or the local licensing authority. In the Emirate of Dubai, VASPs must apply for a license from VARA, the relevant local licensing authority. A VASP registered with VARA is automatically registered with the SCA. In 2023, VARA enacted the Virtual Assets and Related Activities Regulations, which sets requirements for issuing virtual assets and licensing requirements. Additionally, it has provisions for AML/CFT compliance and consumer protection. In 2024, VARA added the Regulations on the Marketing of Virtual Assets and Related Activities.

Regulatory Status: Partial Ban

The Bank of Indonesia has issued regulations disallowing the use of cryptocurrencies as a means of payment. The Financial Services Authority said in a statement that financial institutions are not allowed to use, market, or facilitate trading in crypto-assets. Payment service providers are prohibited from processing any transaction involving crypto-assets. Indonesia is ranked 3rd in crypto adoption globally.

Timeline

The Currency Act, which was passed in 2011, did not recognize crypto-assets as official currencies, making it illegal to transact in them. The Indonesian government put in place additional restrictive measures in 2016 when it prohibited payment service providers and other financial institutions from using, marketing, or facilitating trading of crypto-assets. In 2019, the government softened its position. The Indonesian Commodity Futures Trading Regulatory Agency (Bappebti) imposed rules to regulate crypto-assets as commodities and approved 229 crypto-assets for trading on futures exchanges. In 2021, Bappebti required that futures exchanges and brokers that are transacting in crypto obtain approval before conducting business. However, in 2022, Bappebti announced a moratorium on the issuance of new crypto exchange licenses. In January 2023, two major announcements were made: regulation of crypto-assets will transfer from Bappebti to the Financial Services Authority (OJK) over the coming years and the Indonesian government will launch its own cryptocurrency exchange by the end of the year. The transfer of authority to OJK was completed in 2025.

Regulatory Status: Legal

Cryptocurrency transactions and exchange are legal in the Philippines. The country has worked to introduce legislation and is expected to adopt crypto-specific regulatory framework in 2025. The Philippines ranks 8th in the world for crypto adoption.

Timeline

In January 2021, the Monetary Board of the Bangko Sentral ng Pilipinas (BSP) provided guidelines on the regulation of VASPs via BSP Circular No. 1108 . These were an amendment to the previous regulations which contained regulations on “Virtual Currency Exchanges”. In 2022, BSP announced that it will not be issuing any more licenses for 3 more years to prevent financial stability risks. However, in 2024m the BSP published an updated list of licensed virtual asset service providers, removing four previously licensed firms and adding a new firm. The SEC has been working on the “Rules on Crypto-Asset Service Providers” to establish further legislative clarity on virtual assets, currently in the draft phase. In April, the SEC published its draft for comments from the public.

Regulatory Status: General Ban

Trading crypto-assets is technically illegal, but there are no legal penalties in place for individuals who do trade. Financial institutions are prohibited from transacting in cryptocurrencies. Saudi Arabia ranks 41th on the global crypto adoption index.

Timeline

The Saudi Arabian Monetary Agency announced in 2017 that financial institutions are banned from transacting in crypto-assets. In 2019, the Saudi government issued a warning about transacting in crypto-assets that are not sanctioned by the state. A first step towards regulation was taken in 2020, when SAMA created a regulatory sandbox to encourage financial sector innovation. In 2022, SAMA hired a virtual assets lead to develop crypto-asset regulations.

Regulatory Status: Legal

While virtual currencies are not considered legal tender, they are considered a taxable asset. They are also considered “financial assets,” meaning a license is required to provide crypto services. In 2022 and 2023, Israeli lawmakers have hinted at possible sweeping regulations on cryptocurrencies, although this has yet to come to fruition. Israel is ranked 70th in crypto adoption globally.

Timeline

In February 2014, the Bank of Israel and regulatory agencies issued a warning about the risks of dealing in virtual currencies, emphasizing concerns related to fraud, money laundering, and terrorism financing. In a January 2018 statement, clarified that it did not recognize virtual currencies. Despite not being recognized as currency, the ISA proposed taxing virtual currencies as a “means of virtual payment,” treating them as assets subject to income tax and value-added tax. In January 2021, the Israel Securities Authority (ISA) declared that the issuance of crypto-tokens would be classified as securities rather than assets.

Regulatory Status: Partial Ban

The Central Bank of Turkey has banned the use of cryptocurrencies as a means of payment. In March 2025, The Capital Markets Board (CMB) was given fill oversight of crypto asset service providers including exchanges, custodians, and wallet services.

Timeline

In 2020, the Central Bank of Turkey banned the use of crypto-assets as a means of payment. The next year, the Financial Crimes Investigation Board issued guidance requiring that crypto-asset service providers must adhere to AML/CFT regulations. In 2022, the Turkish government took a substantial step towards more robust regulation when a draft cryptocurrency regulation bill was published. The law, which is still being debated, would impose tax rules and give financial regulators greater power over the cryptocurrency market. In March 2025, The Capital Markets Board (CMB) was given fill oversight of crypto asset service providers (CASPs) including exchanges, custodians, and wallet services. Despite Turkey has a high rate of crypto adoption and ranks 11th in the Chainalysis global adoption index.

Regulatory Status: Legal

In statements, the government has indicated that they intend to tax cryptocurrencies, but has not indicated that cryptocurrency is legal. While there have been attempts to provide clarity on the government’s stance or initiate a regulatory regime, no such statements or regulations have been introduced. India’s active cryptocurrency market ranked 1st in the global index of crypto adoption.

Timeline

In 2018, the Reserve Bank of India prohibited banks from dealing in cryptocurrencies, effectively banning cryptocurrency trading and forcing exchanges to relocate out of India. However, in 2020, the Supreme Court struck down the ban, arguing that the risks posed by crypto are insufficient to justify a ban. In 2021, the Standing Committee on Finance indicated that crypto-assets will be regulated and a proposed cryptocurrency regulatory framework was introduced in the Parliament. While further clarity on cryptocurrency’s legal status and regulatory framework is forthcoming, the government has moved forward on several tax provisions, including a 2023 rule that introduced punishment for non-compliance.

Regulatory Status: Partial Ban

Currently, crypto-assets are not legal tender in Ghana, and the country has no relevant regulations in place. This is expected to change in 2025. The country is currently in the process of drafting a regulatory regime for digital assets, and it projects that implementation will begin in September 2025. Globally, Ghana is ranks 46th in crypto adoption.

Timeline

The Bank of Ghana since 2019 has released statements warning citizens about the risks posed by crypto-assets, but has not banned crypto assets. In August 2024, the Bank of Ghana released draft guidelines on digital assets. The draft stated that the objectives of the country’s regulatory approach include ensuring the stability of the financial sector, protecting consumers and investors, guarding against AML/CFT risks, and promoting innovation. During the spring 2025 meetings of the IMF and World Bank, Bank of Ghana Governor Johnson Asiama announced that he expects regulation to be rolled out later in the year.

Regulatory Status: Legal

Cryptocurrencies are recognized and well regulated in Nigeria with the country moving towards regulatory clarity in recent years. Nigeria ranks 2nd globally in crypto adoption and in 2022 launched its CBDC, the e-Naira.

Timeline

In 2017, the CBN banned financial institutions from facilitating crypto-asset transactions. In 2021, the central bank ordered local financial institutions to shut down all bank accounts associated with cryptocurrency trading platforms, claiming that digital currency was used for money laundering and terrorism. However, the CBN governor clarified that the new regulations focused on the banking sector and that the CBN had not placed restrictions on the use of crypto assets and did not discourage trading. In 2022, the SEC announced new rules regarding digital asset providers. In 2023, the Finance Act created further clarity on crypto taxation and regulation. In March 2025, Nigeria passed a law (Investment and Securities Act) recognizing cryptocurrencies as securities and putting them under the authority of the SEC. Lawmakers expected the law to bring Nigeria out of the FATF’s gray list. Nigeria ranks 2nd globally in crypto adoption and in 2022 launched its CBDC, the e-Naira.

Regulatory Status: Legal

In 2022, the Financial Advisory and Financial Intermediary Services Act (FAIS) was amended to include appropriate definitions and create licensing, AML/CFT, and consumer protection obligations for crypto-asset providers. South Africa is ranked 30st in crypto adoption globally.

Timeline

The South African Reserve Bank and the Financial Sector Conduct Authority released a statement in 2014 warning the public of the risks associated with crypto-asset trading while clarifying that it is legal to do so. Despite cryptocurrency’s legal status, a draft regulatory framework was not published until 2020. In 2021, South Africa’s Intergovernmental Fintech Working Group published a position paper on crypto-assets, furthering debate around appropriate regulations. Most recently, the Financial Advisory and Financial Intermediary Services Act (FAIS) was amended in 2022 to include a definition of crypto-assets as financial products. The amended act outlines licensing, AML/CFT, and consumer protection obligations. New rules passed by the Advertising Regulatory Board in 2023 require that crypto advertisers warn users of risks. Starting April 2025, CASPs must comply with the Travel Rule as recommended by FATF.

Regulatory Status: Legal

Kenya updated a Capital Markets Bill in 2022 which laid out regulations on taxation, licensing and consumer protection. In December 2024, Kenya’s Treasury released a draft policy framework for virtual assets. Kenya is ranked 28th in adoption.

Timeline

Since 2015, the Central Bank of Kenya (CBK) has issued warnings on the risks of crypto-assets. That same year, the High Court ruled that the CBK had the authority to regulate cryptocurrencies through Kenya’s money remittance regulations. In 2022, the Capital Markets Bill was amended to include digital asset regulations, including tax, licensing, and consumer protection provisions. In December 2024, Kenya’s Treasury released draft national policy on virtual assets and virtual asset service providers. John Mbadi, Kenya’s Treasury Secretary, announced that implementation of a new regulatory framework would be forthcoming.

Regulatory Status: Partial Ban

Crypto currencies are not considered legal tender and the Central Bank of the Congo cautioned risks and advised consumers cryptocurrencies are unregulated and unauthorized. The DRC is ranked 48th in crypto adoption globally.

Timeline

In 2020, the Central Bank of the Congo (BCC) published a press release reiterating that cryptocurrencies remain unregulated and unauthorized in the DRC.

Regulatory Status: Partial Ban

In 2018, Venezuela established a regulatory framework for cryptocurrencies. Under this framework, known as the Cryptoassets Constituent Decree, the use and creation of cryptocurrencies were formally legalized. While crypto-assets and the crypto industry were initially overseen by the Venezuelan Superintendent on Cryptoassets of Venezuela and Ancillary Activities (SUPCACVEN) and the Treasury of Cryptoassets of Venezuela, a corruption scandal resulted in authority being transferred to CAVEMCRIP, the country’s crypto business association. Venezuela is ranked 13th in crypto adoption globally.

Timeline

In 2018, Venezuela established a regulatory framework for cryptocurrencies. This new framework included the creation of the Office of the Venezuelan Superintendent on Cryptoassets of Venezuela and Ancillary Activities (SUPCACVEN), as well as the Treasury of Cryptoassets of Venezuela. Under this framework, known as the Cryptoassets Constituent Decree, the use and creation of cryptocurrencies were formally legalized. The National Executive was also authorized to set additional regulation for the digital assets industry. SUPCACVEN was suspended in March 2023, following accusations that it was involved in a corruption scandal. While SUPCACVEN is expected to resume operations after a reorganization, the private sector is increasing its role in regulation. CAVEMCRIP, the country’s crypto business association, is filling the SUPCACVEN’s gap. Due to concerns over the reliability of Venezuela’s power grid, the country banned crypto mining in 2024. Venezuela is ranked 13th in crypto adoption.

Regulatory Status: Partial Ban

Financial institutions in Colombia are prohibited from transacting in crypto-assets or providing financial services to crypto companies. Colombia is ranked 36th in crypto adoption globally.

Timeline

Colombia, which ranks 36th globally in crypto adoption, has taken gradual steps towards regulation. In 2021, the Superintendency of Financial Institutions launched a regulatory sandbox to cooperate with financial services firms on crypto regulatory development. In a 2022 press release, the Directorate of National Taxes and Customs indicated that income generated from crypto activities may be taxed. A bill to regulate crypto exchanges had been awaiting a vote since its introduction in 2019.

Regulatory Status: Legal

Crypto-assets are legal in Chile, with the most recent form of regulation established in 2023. Chile’s Fintech Law, effective since February 2023, regulates various fintech services related to crypto-assets, defining them as digital representations of value.

Timeline

The Chilean Internal Revenue Service (SII) issued Notice No. 963 in May 2018, requiring declarations for income from cryptocurrency transactions on tax forms. In February 2023 Chile’s Fintech Law began regulating various fintech services related to crypto-assets including overseeing exchanges and issuers. The law also permitted digital representations backed by money as means of payment. The law has the Financial Market Commission (CMF) to oversee crypto services, including exchanges and investment advice, while also permitting digital representations backed by money as means of payment. Additionally, it grants the Central Bank authority to establish prudential regulations for qualifying crypto-assets. Chile is ranked 52nd in crypto adoption globally.

Regulatory Status: Partial Ban

The Central Bank of Ecuador issued a statement in 2024 indicating that crypto-assets are banned means of payments and their use, outside payments, remains unregulated. Ecuador is ranked 67th in crypto adoption globally.

Timeline

The government of Ecuador took its first step towards regulating crypto assets in 2014, when it banned their use. In 2018, the Central Bank of Ecuador issued a statement indicating that while crypto assets are not a legitimate means of payment and are not regulated, they are legal to buy, hold, and trade. In early 2022, the Central Bank announced that it would pursue regulation, particularly related to money laundering and financial crimes. However as of April 2025, crypto-assets remain largely unregulated. Despite its regulatory environment, crypto is popular in Ecuador, which ranks 67th in global adoption.

Regulatory Status: Legal

Crypto currencies are not banned in Peru but remain largely unregulated and are not considered legal tender. Peru is ranked 42nd in crypto adoption globally.

Timeline

The Peruvian government took a first step towards regulating crypto assets in 2022, by introducing the Crypto-asset Marketing Framework, which outlined tax provisions and licensing guidelines. In 2018, the country launched a domestic cryptocurrency known as Perucoin, and starting in 2019 has been exploring the development of a CBDC. In July 2023, DS No 006-2023-JUS brought virtual asset service providers into the supervising authority the Financial Intelligence Unit. In August 2024, Peru amended its AML and CTF legislation to provide further clarity on virtual assets. Peru is ranked 42nd in crypto adoption.

Regulatory Status: Partial Ban

In 2022, the Bank of Argentina barred banks from offering cryptocurrency products or services to customers. In May 2023, the Bank of Argentina also banned payment providers from offering crypto transactions. In March 2025, Argentina adopted Resolution 1058/2025 which provided a framework for the regulation of virtual asset service providers. . Argentina is ranked 15th in crypto adoption globally.

Timeline

A Ministry of Finance resolution passed in 2014 required companies to report suspicious virtual currency transactions, marking the country’s first attempt to regulate crypto-assets. Since then, Argentina has amended its income tax law to extend to profits from virtual asset transactions and the National Securities Commission and Central Bank have issued several statements warning investors of the risks posed by cryptocurrency activities. In 2022, amidst an economic and financial crisis, the Bank of Argentina barred banks from offering cryptocurrency products or services to customers. In May 2023, the Bank of Argentina banned payment providers from offering crypto transactions, bringing payment fintechs and financial institutions under the same rules. In March 2024, the National Securities Commission was delegated as the regulatory authority for the crypto industry. The commission also mandated a registry for virtual asset service providers. In March 2025, the National Securities Commission adopted Resolution 1058/2025 which provided a framework for the regulation of virtual asset service providers. The new guidelines implement regulations on consumer protections, AML/CFT compliance, and licensing.

Regulatory Status: Legal

In June 2024, the Central Bank of Bolivia reversed its ban on the trading of cryptocurrency. The country ranks 101st globally in crypto adoption.

Timeline

The trading of cryptocurrency is currently legal in Bolivia. The Bolivian government indicated in 2014 that crypto-assets were illegal in the country. However, the Central Bank of Bolivia reversed its ban on cryptocurrencies in June 2024.