Romania

## Report on Retail Cryptocurrency Trading Status in Romania

**Date:** 2025-06-26

**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).

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### Retail_Trading_Status in Romania

**Identified Status:** Allowed-Regulated

**Detailed Narrative Explanation:**

Retail cryptocurrency trading is legally permitted in Romania, but it operates within an evolving regulatory framework that is increasingly aligning with European Union directives, particularly concerning Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF). While Romania has not yet implemented a fully comprehensive, standalone licensing and supervisory regime specifically for all aspects of cryptocurrency operations beyond AML/CTF, the activity of buying, selling, and holding cryptocurrencies by individuals is not prohibited.

Key aspects of the regulatory environment include:

1.  **AML/CFT Framework:** Romania has transposed the EU's 5th Anti-Money Laundering Directive (AMLD5) into its national legislation. This means that entities providing services related to virtual currencies, such as exchanges and custodian wallet providers, are now considered reporting entities. They are obligated to implement Know Your Customer (KYC) and AML/CFT procedures, including customer due diligence, monitoring transactions, and reporting suspicious activities to the National Office for Prevention and Control of Money Laundering (ONPCSB). Law no. 129/2019 for preventing and combating money laundering and terrorist financing, as subsequently amended, establishes this framework.

2.  **Regulatory Oversight:** The primary regulatory bodies involved, albeit to different extents, are the National Bank of Romania (BNR) and the Financial Supervisory Authority (ASF).
    *   **National Bank of Romania (BNR):** The BNR has historically issued warnings regarding the volatility and risks associated with cryptocurrencies, emphasizing that they are not legal tender in Romania. However, it does not outright ban their use or trading by individuals. The BNR's stance has been more cautionary than prohibitive, focusing on consumer protection and financial stability.
    *   **Financial Supervisory Authority (ASF):** The ASF is responsible for supervising non-banking financial markets. While cryptocurrencies themselves are not always neatly categorized as traditional financial instruments, platforms offering derivatives or other financial products based on cryptocurrencies could fall under ASF's purview. The ASF also contributes to consumer warnings and monitors developments in the crypto space. In 2023, the ASF took on the role of registering and/or authorizing crypto-asset service providers (CASPs) under the EU's Markets in Crypto-Assets (MiCA) regulation, which is progressively coming into effect.

3.  **Taxation:** Income derived from cryptocurrency trading is subject to taxation in Romania. Individuals are required to declare their crypto-related income and pay the applicable taxes, typically treated as income from other sources or capital gains, depending on the specifics of the transactions. The National Agency for Fiscal Administration (ANAF) provides guidance on these obligations.

4.  **EU's MiCA Regulation:** The European Union's Markets in Crypto-Assets (MiCA) Regulation, which aims to create a harmonized regulatory framework for crypto-assets across the EU, is a significant factor. Romania, as an EU member state, is in the process of aligning its national framework with MiCA. This regulation will introduce licensing requirements for crypto-asset service providers (CASPs), rules for issuers of crypto-assets, and investor protection measures. The ASF has been designated as the competent authority for MiCA implementation in Romania, including the registration and authorization of CASPs. This further solidifies the "Allowed-Regulated" status, as it moves towards a more comprehensive regulatory structure.

5.  **Official Statements and Warnings:** Romanian authorities, including the BNR and ASF, have issued several public statements and warnings. These generally highlight the risks associated with cryptocurrencies, such as high volatility, lack of investor protection schemes (like deposit guarantees), and potential for use in illicit activities. These warnings aim to inform and protect consumers rather than prohibit trading.

In summary, Romanian residents are permitted to engage in cryptocurrency trading. The regulatory landscape is primarily defined by AML/CFT obligations for service providers and an evolving framework under the influence of EU directives, especially MiCA, which is leading to more specific licensing and operational requirements for crypto businesses.

**Specific, Relevant Text Excerpts and URL Links:**

1.  **AML/CFT Legislation (Law 129/2019, as amended):**
    *   **Summary:** This law transposes AMLD5 and designates providers engaged in exchange services between virtual currencies and fiat currencies, as well as custodian wallet providers, as reporting entities. They must apply customer due diligence measures and report suspicious transactions.
    *   **Source:** The Romanian Parliament (Camera Deputaților) or the Official Gazette (Monitorul Oficial). A consolidated version is often available on legal databases.
    *   **URL:** While a direct link to the latest consolidated version in English can be hard to find, the law itself is public. The National Office for Prevention and Control of Money Laundering (ONPCSB) website often provides guidance and legislative references. (e.g., `http://www.onpcsb.ro/legislatie-nationala-prevenirea-spalarii-banilor`)

2.  **Financial Supervisory Authority (ASF) on MiCA and Crypto-Asset Service Providers:**
    *   **Excerpt/Summary:** The ASF has been designated as the competent authority in Romania for the authorization and supervision of crypto-asset service providers (CASPs) under the MiCA Regulation. This indicates a move towards a regulated environment for these entities. The ASF announced in 2023 that entities wishing to be authorized as CASPs under MiCA can submit their applications.
    *   **Source:** Official announcements or press releases from the ASF.
    *   **URL:** (Example from a law firm discussing ASF's role, as direct ASF links might change or be deep within the site) "The Financial Supervisory Authority (ASF) has been designated as the competent authority in Romania for the authorisation and supervision of crypto-asset service providers (CASPs) under the MiCA Regulation." (Source: Filip & Company, October 2023). A search on the ASF's official website (`https://asfromania.ro`) for "MiCA" or "criptomonede" would yield relevant press releases or regulatory updates. For instance, an ASF press release from October 19, 2023, stated: "Starting from today, October 19, 2023, entities wishing to be authorized as crypto-asset service providers (CASP), under the MiCA Regulation, can submit applications to the Financial Supervisory Authority (ASF) for analysis."

3.  **National Bank of Romania (BNR) Stance:**
    *   **Summary:** The BNR has consistently warned about the speculative nature and risks of cryptocurrencies, clarifying that they are not national currency and are not guaranteed by the BNR. However, these warnings do not constitute a ban on individuals trading or holding them.
    *   **Source:** Public statements and press releases from the BNR.
    *   **URL:** Search on the BNR website (`https://www.bnr.ro`) for "criptomonede" or "monede virtuale" for relevant statements. For example, a typical BNR statement would emphasize risks without prohibiting activity: "The National Bank of Romania reiterates its warnings regarding the high risks associated with virtual currencies."

4.  **Taxation of Cryptocurrency Income (ANAF):**
    *   **Summary:** The National Agency for Fiscal Administration (ANAF) requires individuals to declare income from cryptocurrency transactions and pay the relevant taxes. This implies the legality of deriving income from such activities.
    *   **Source:** ANAF official website, tax guides, or specific rulings.
    *   **URL:** Information can typically be found on the ANAF website (`https://www.anaf.ro`) by searching for "venituri din criptomonede" or in their annual tax guides. For instance, guidance often clarifies that income from the transfer of virtual currency is considered income from other sources and is subject to income tax and potentially health contributions.

The ongoing implementation of MiCA is the most significant development, solidifying the "Allowed-Regulated" status by establishing a clearer licensing and supervisory framework for crypto-asset service providers, which directly impacts the environment for retail traders by enhancing transparency and investor protection.