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Niger

Retail_Trading_Status

Allowed-Unregulated Unknown
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Analysis ID
#236
Version
Archived
Created
2025-04-13 08:00
Workflow Stage
Live

Executive Summary

Retail cryptocurrency trading in Niger is neither explicitly banned nor regulated. As a WAEMU member, the Central Bank of West African States (BCEAO) influences Niger's financial landscape; while it has issued warnings against crypto trading, no specific laws prohibit individual crypto activities. There are no explicit KYC/AML requirements imposed on platforms, nor is licensing necessary. The status is best described as 'Allowed-UnRegulated'.

Key Pillars

The primary regulator influencing Niger's financial landscape is the Central Bank of West African States (BCEAO). Currently, there are no specific AML/KYC/CDD requirements directly applicable to cryptocurrency activities, and no licensing or registration requirements for cryptocurrency exchanges or service providers. The regulatory approach is best characterized by caution and warnings against the risks of cryptocurrency, rather than explicit prohibitions.

Landmark Laws

There is no specific legislation or regulation in Niger, or at the WAEMU level, that explicitly governs cryptocurrencies. No landmark legislations are applicable.

Considerations

Cryptocurrencies are not recognized as legal tender in Niger or the broader WAEMU zone. The BCEAO and CREPMF have expressed concerns regarding the risks associated with cryptocurrencies, citing lack of auditability and institutional accountability. The absence of specific regulations means general financial laws might apply indirectly. A 2021 FATF report noted the absence of Virtual Asset Service Providers (VASPs) in Niger.

Notes

Historically, the BCEAO has been cautious regarding cryptocurrencies, advising against their use due to concerns about auditability and accountability. Discussions have taken place within ECOWAS regarding the need for regional crypto regulation, but no definitive framework has been adopted. Information regarding Niger's crypto regulations comes with the disclaimer that specific regulations are lacking. A BYDFi forum (unverified) states Niger has not adopted specific regulations concerning crypto as legal tender.

Detailed Explanation

Retail cryptocurrency trading in Niger operates in a legally ambiguous environment. As a member of the West African Economic and Monetary Union (WAEMU), Niger's financial landscape is heavily influenced by the Central Bank of West African States (BCEAO). While Niger has not enacted specific laws or regulations explicitly governing cryptocurrency ownership, buying, or selling, neither does it explicitly prohibit these activities. Cryptocurrencies are not recognized as legal tender within the WAEMU zone. In 2018, the BCEAO Governor advised against trading in cryptocurrencies due to concerns about auditability and accountability. In 2021, the Regional Council for Public Savings and Financial Markets (CREPMF) cautioned against companies involved in cryptocurrency trading, citing "illegal activities," likely related to lacking the appropriate financial services licenses. More recent analyses, including one by John W Ffooks & Co in April 2022, confirm that cryptocurrency regulations are still absent in UEMOA countries. A 2021 FATF mutual evaluation report on Niger noted the absence of Virtual Asset Service Providers (VASPs). While there have been discussions within the Economic Community of West African States (ECOWAS) about the need for regulation, no definitive regional framework has materialized. Neighboring Nigeria, not part of WAEMU, initially restricted banks from facilitating crypto transactions but has since shifted toward regulation, classifying crypto assets as securities under the Investments and Securities Act (ISA) 2024. Despite warnings from regional bodies like the BCEAO, individuals in Niger are not legally barred from buying, selling, or holding cryptocurrencies. WTS Global noted in April 2025, regarding Togo (a WAEMU member), that no regulation exists for crypto-assets, thus the use falls within the scope of freedom of contract. A November 2021 Law Library of Congress report indicates official disapproval and a lack of legal tender status rather than an outright ban.

Summary Points

Here's a bullet-point summary of the regulatory analysis report on Retail Cryptocurrency Trading Status in Niger, designed for clarity and quick comprehension:

I. Overall Regulatory Status:

  • Allowed-UnRegulated: Retail cryptocurrency trading (buying, selling, and holding) is permitted in Niger but lacks specific regulations.

II. Key Regulatory Bodies and Their Roles:

  • Central Bank of West African States (BCEAO):
    • Serves as the central bank for Niger and seven other WAEMU member states.
    • Influences Niger's financial and monetary landscape.
    • Has historically adopted a cautious approach towards cryptocurrencies.
    • In 2018, the Governor advised against trading in cryptocurrencies due to lack of auditability and institutional accountability.
  • Regional Council for Public Savings and Financial Markets (CREPMF):
    • Financial market regulator for WAEMU.
    • Issued warnings in 2021 against companies specializing in cryptocurrency trading, asking them to cease "illegal activities" (likely due to operating without appropriate financial services licenses).
  • Economic Community of West African States (ECOWAS):
    • Discussions have taken place regarding the need for regulation, but no definitive regional framework has been adopted.

III. Important Legislation and Regulations:

  • Absence of Specific Legislation:
    • No specific legislation or regulation in Niger, or at the WAEMU level, explicitly governs cryptocurrency ownership, buying, or selling by retail individuals.
    • Cryptocurrencies are not recognized as legal tender within the WAEMU zone.
  • General Financial Laws:
    • General financial laws might apply indirectly, but there is no dedicated crypto-regulatory framework.

IV. Requirements for Compliance:

  • No specific compliance requirements exist for retail cryptocurrency trading due to the lack of regulation.
  • However, general financial regulations may apply indirectly.

V. Notable Restrictions or Limitations:

  • Lack of Legal Tender Status: Cryptocurrencies are not recognized as legal tender in Niger or the WAEMU zone.
  • Warnings from Regulatory Bodies: The BCEAO and CREPMF have issued warnings about the risks associated with cryptocurrencies.
  • Absence of Virtual Asset Service Providers (VASPs): The FATF mutual evaluation report on Niger noted the absence of Virtual Asset Service Providers (VASPs) in the country at that time.

VI. Recent Developments or Changes:

  • No significant changes: Cryptocurrency regulations are still not established in the UEMOA countries.
  • Contrasting Approaches in the Region:
    • Niger's situation contrasts with neighboring Nigeria, which has moved towards regulation, classifying crypto assets as securities under its new Investments and Securities Act (ISA) 2024.

Full Analysis Report

Report: Retail Cryptocurrency Trading Status in Niger

Topic: Retail_Trading_Status

Description: Assess whether individual citizens and residents in the country are legally permitted to buy, sell, and hold cryptocurrencies. Detail the regulatory environment surrounding this activity (e.g., KYC/AML requirements imposed on platforms, general warnings issued).

1. Identified Status:
Allowed-UnRegulated

2. Narrative Explanation:

Niger is a member of the West African Economic and Monetary Union (WAEMU, or UEMOA in French). The Central Bank of West African States (BCEAO) serves as the common central bank for Niger and the other seven WAEMU member states [26]. Consequently, the regulatory stance of the BCEAO significantly influences the financial and monetary landscape within Niger.

Currently, there is no specific legislation or regulation in Niger, or at the WAEMU level, that explicitly governs the ownership, buying, or selling of cryptocurrencies by retail individuals [2, 18]. While cryptocurrencies are not recognized as legal tender within the WAEMU zone [2, 11, 21], there is no explicit legal prohibition preventing citizens from engaging in cryptocurrency activities.

The BCEAO has historically adopted a cautious approach. In 2018, the Governor advised against trading in cryptocurrencies, citing lack of auditability and institutional accountability [2, 4]. Similarly, the Regional Council for Public Savings and Financial Markets (CREPMF), the financial market regulator for WAEMU, issued warnings in 2021 against companies specializing in cryptocurrency trading, asking them to cease "illegal activities," though the specific illegality likely stemmed from operating without appropriate financial services licenses rather than a ban on crypto itself [2]. These warnings highlight the risks associated with cryptocurrencies but do not constitute an outright ban on individual possession or peer-to-peer trading.

More recent analyses confirm that cryptocurrency regulations are still not established in the UEMOA countries [2]. While discussions within the broader Economic Community of West African States (ECOWAS) have taken place regarding the need for regulation [2, 22], no definitive regional framework has been adopted. A 2021 FATF mutual evaluation report on Niger noted the absence of Virtual Asset Service Providers (VASPs) in the country at that time [28].

The situation in Niger contrasts with neighboring Nigeria (not part of WAEMU but a major regional economy), which initially restricted banks from facilitating crypto transactions [10, 14] but has since moved towards regulation, classifying crypto assets as securities under its new Investments and Securities Act (ISA) 2024 [3, 8, 9, 12]. This highlights the differing approaches within the broader West African region.

In summary, retail cryptocurrency trading in Niger exists in a space where it is not explicitly banned but also lacks specific regulations. General financial laws might apply indirectly, but there is no dedicated crypto-regulatory framework. The BCEAO and regional bodies have issued warnings about risks, but individuals are not legally prohibited from buying, selling, or holding cryptocurrencies. Therefore, the status is best described as 'Allowed-UnRegulated'.

3. Supporting Excerpts:

  • (John W Ffooks & Co, 2022): "For now, it is clear that none of the West African countries recognizes cryptocurrency as a legal currency. As a result, none of the countries in the UEMOA zone has adopted a specific regulation/law on cryptocurrencies... Cryptocurrency regulations in the UEMOA countries are still not established." [2]
  • (Law Library of Congress, 2021): In a table summarizing global crypto regulations, Niger is listed with "No" under "Legal status of cryptocurrencies (explicit or implicit ban)" and "Yes" under "Regulatory Framework (application of AML/CFT or tax laws)". The notes refer to Benin's entry, stating: "the Central Bank of West African States (BCEAO) declared that it is “against” Bitcoin, and that crypto currencies are “not admitted” in the BCEAO zone)." This indicates official disapproval and lack of legal tender status ("not admitted") rather than an outright ban on possession/trading for individuals. [4]
  • (WTS Global, 2025 - regarding Togo, also a WAEMU member): "Does your jurisdiction regulate cryptocurrencies? Are there any legislative developments with regard to cryptocurrencies or financial technologies in general? No regulation for crypto-assets. Cryptocurrencies are therefore not legal tender in WAEMU. Their use therefore falls within the scope of freedom of contract." [11]
  • (WTS Global, 2025 - regarding Benin, also a WAEMU member): "Does your jurisdiction regulate cryptocurrencies? Are there any legislative developments with regard to cryptocurrencies or financial technologies in general? In Benin, the regulation of cryptocurrencies is an evolving subject. There are no specific rules for cryptocurrencies." [18]
  • (FATF/GIABA Mutual Evaluation Report on Niger, 2021): "There are no Virtual Asset Service Providers (VASPs) in Niger." [28] (This notes the absence of regulated entities, not necessarily a ban on the activity itself).
  • (BYDFi Forum, 2022 - Unverified User Contribution): "Le Niger n'a pas encore adopté de réglementation spécifique concernant l'utilisation des cryptomonnaies comme monnaie légale." (Niger has not yet adopted specific regulations concerning the use of cryptocurrencies as legal tender.) [13]

4. Source Links:

  • [2] John W Ffooks & Co (April 2022): Why Crypto Hasn't Taken Off In Francophone Africa Yet - https://www.jwflegal.com/news/why-crypto-hasnt-taken-off-in-francophone-africa-yet (Link derived from search result text, direct URL might differ slightly)
  • [4] Law Library of Congress (November 2021): Regulation of Cryptocurrency Around the World - https://www.loc.gov/law/help/cryptocurrency/world-survey.php (General link, specific report PDF may be linked within)
  • [11] WTS Global (April 2025): Togo: Exchange Control Insights - https://wts.com/global/insights/africa-newsletter/2-2025/togo-exchange-control-insights (Link derived from search result text, direct URL might differ slightly)
  • [18] WTS Global (April 2025): Benin: Exchange Control Insights - https://wts.com/global/insights/africa-newsletter/2-2025/benin-exchange-control-insights (Link derived from search result text, direct URL might differ slightly)
  • [21] Cairn.info / Revue internationale de droit économique (2021): Les législations africaines à l'épreuve de la cryptomonnaie : l'exemple de la sous-région communautaire CEMAC - https://www.cairn.info/revue-internationale-de-droit-economique-2021-3-page-109.htm (While focused on CEMAC, it touches upon the non-legal tender status in WAEMU)
  • [26] BCEAO Official Website: WAMU - https://www.bceao.int/en/content/wamu
  • [28] FATF/GIABA (August 2021): Anti-money laundering and counter-terrorist financing measures – Republic of Niger, Second Round Mutual Evaluation Report - https://www.fatf-gafi.org/en/publications/Mutualevaluations/Mer-niger-2021.html

(Note: Links for sources [3, 5, 6, 7, 8, 9, 10, 12, 13, 14, 15, 16, 17, 19, 20, 22, 23, 24, 25, 27] relate primarily to Nigeria, CEMAC, Ghana, general crypto information, or broader ECOWAS/WAEMU economic context and are included in the search results but not directly cited for Niger's specific status unless corroborating WAEMU-level information.)

Web Sources (7)

Sources discovered via web search grounding

Search queries used (6)
  • BCEAO cryptocurrency policy Niger
  • Niger crypto trading laws
  • réglementation crypto-monnaie Niger
  • WAEMU cryptocurrency regulation
  • statut juridique crypto Niger
  • Central Bank West African States cryptocurrency warning
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