Edit Analysis - Angola

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As of April 12, 2025, the status of retail cryptocurrency trading in Angola is 'Allowed-UnRegulated.' This means that while there isn't a specific law prohibiting Angolan citizens from buying, selling, or holding cryptocurrencies, there is a lack of a formal regulatory framework governing these activities. A significant development was the enactment of the 'Law on the Prohibition of Cryptocurrency and Other Virtual Asset Mining,' which came into effect on April 10, 2024. This law criminalizes cryptocurrency mining, citing concerns over national energy security and imposes prison sentences ranging from 1 to 12 years for violations. However, this mining ban does *not* extend to the general use, trading, or holding of cryptocurrencies by individuals, leaving the legal status of cryptocurrency usage and trading ambiguous. Prior to the mining ban, the National Bank of Angola (Banco Nacional de Angola - BNA) had consistently advised against the use of cryptocurrencies due to financial risks, volatility, and potential links to illicit activities, although it did not outright ban possession or trading. Financial institutions were also restricted from facilitating crypto transactions. The BNA had indicated it was assessing risks and considering regulatory approaches, acknowledging the growing virtual assets market in 2020 and early 2022. Angola's Anti-Money Laundering and Counter-Financing of Terrorism (AML/CFT) law, Law No. 5/20 of January 27, 2020, does define 'virtual assets' and mandates that competent authorities should ensure AML/CFT regulations apply to virtual asset service providers (VASPs), requiring licensing/registration and supervision. However, as of mid-2024, specific regulations implementing these requirements for VASPs had reportedly not yet been approved or put into effect. Law 5/20 itself does not designate VASPs as specific subject entities nor trading as a specific subject activity needing distinct regulation beyond the general mandate. Therefore, while the AML framework acknowledges virtual assets, the specific regulatory infrastructure for overseeing retail trading platforms and activities is absent. Individuals in Angola engaging in crypto trading often do so through international online exchanges, operating outside any Angola-specific regulatory oversight. The government has not declared owning or trading cryptocurrencies illegal, but the official stance remains cautionary, and the environment lacks specific consumer protection or operational rules for crypto trading platforms within Angola.

Bullet Points

Okay, here's a bullet-point summary of the Angola Retail Cryptocurrency Trading Status report, designed for quick comprehension:

**Angola: Retail Cryptocurrency Trading Status (April 12, 2025)**

**I. Overall Regulatory Status: Allowed-UnRegulated**

*   Retail cryptocurrency trading (buying, selling, holding) is **not explicitly prohibited** in Angola.
*   However, there is **no formal regulatory framework** governing these activities.
*   The legal status of cryptocurrency usage and trading remains **ambiguous** or operates within a **legal gray area**.

**II. Key Regulatory Bodies & Roles**

*   **National Bank of Angola (Banco Nacional de Angola - BNA):**
    *   Historically, has expressed **caution** regarding cryptocurrencies due to financial risks and volatility.
    *   Has **advised against** the use of cryptocurrencies.
    *   Has **restricted financial institutions** from facilitating crypto transactions.
    *   Is **assessing risks** and considering regulatory approaches.
*   **Competent Authorities (under AML Law):**
    *   Mandated to ensure AML/CFT regulations apply to virtual asset service providers (VASPs).
    *   Specific regulations implementing these requirements for VASPs have **not yet been approved or put into effect**.

**III. Important Legislation & Regulations**

*   **Law on the Prohibition of Cryptocurrency and Other Virtual Asset Mining (Effective April 10, 2024):**
    *   **Criminalizes the *mining* of cryptocurrencies and other virtual assets.**
    *   Motivated by concerns over national energy security.
    *   Penalties include prison sentences ranging from 1 to 12 years.
    *   **Does *not* explicitly extend to the general use, trading, or holding of cryptocurrencies.**
*   **Law No. 5/20 of January 27, 2020 (Anti-Money Laundering and Counter-Financing of Terrorism - AML/CFT):**
    *   **Defines "virtual assets."**
    *   Mandates AML/CFT regulations for virtual asset service providers (VASPs).
    *   Requires licensing/registration and supervision of VASPs.
    *   Does not designate VASPs as specific subject entities nor trading as a specific subject activity needing distinct regulation beyond the general mandate.

**IV. Requirements for Compliance**

*   **AML/CFT Compliance (in theory):**
    *   VASPs (once regulations are implemented) will be subject to AML/CFT requirements.
    *   Likely to include licensing/registration and supervision.
*   **Currently, no Angola-specific regulatory oversight for retail trading platforms.**

**V. Notable Restrictions or Limitations**

*   **Mining Ban:** Cryptocurrency mining is illegal and subject to severe penalties.
*   **Lack of Specific Regulations:** Absence of specific consumer protection or operational rules for crypto trading platforms within Angola.
*   **Cautionary Stance:** The government's official stance remains cautionary.
*   **Financial Institution Restrictions:** Financial institutions are restricted from facilitating crypto transactions.

**VI. Recent Developments or Changes**

*   **April 2024: Enactment of the "Law on the Prohibition of Cryptocurrency and Other Virtual Asset Mining."**
*   **Ongoing: Assessment of risks and consideration of regulatory approaches by the BNA.**
*   **Ongoing: Lack of implementation of specific regulations for VASPs under Law 5/20.**

**VII. Key Takeaway**

*   Individuals can currently trade cryptocurrencies in Angola, but do so in an unregulated environment with no specific consumer protections. The government advises against it due to financial risks. Mining is illegal.

Full Analysis Report

Complete markdown report for this analysis

**Report: Retail Cryptocurrency Trading Status in Angola**

**Date:** April 12, 2025

**Analyst:** Specialized Financial Regulatory Analyst

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**Topic: Retail_Trading_Status**

**Description:** Assessment of the legal permissibility for individual citizens and residents in Angola to buy, sell, and hold cryptocurrencies, including the regulatory environment surrounding this activity (e.g., KYC/AML requirements, official warnings).

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**1. Current Status:** `Allowed-UnRegulated`

**2. Detailed Narrative Explanation:**

The status of retail cryptocurrency trading (buying, selling, holding) for individuals in Angola is currently best described as **Allowed-UnRegulated**. While there is no specific law explicitly prohibiting citizens from engaging in cryptocurrency transactions for personal investment or use, there is also a distinct lack of a formal regulatory framework governing these activities.

A significant recent development was the enactment of the "Law on the Prohibition of Cryptocurrency and Other Virtual Asset Mining" which came into effect on April 10, 2024. This law specifically targets and criminalizes the *mining* of cryptocurrencies and other virtual assets, citing concerns over national energy security due to the high electricity consumption associated with mining operations. Penalties for violating the mining ban are severe, including prison sentences ranging from 1 to 12 years.

Crucially, this mining ban law *does not* explicitly extend to the general use, trading, or holding of cryptocurrencies by individuals. Several sources confirm that the legal status of cryptocurrency *usage* and *trading* remains ambiguous or operates within a legal gray area following the mining ban.

Historically, Angolan authorities, particularly the National Bank of Angola (Banco Nacional de Angola - BNA), have expressed caution regarding cryptocurrencies. For years prior to the mining ban, the BNA advised against the use of cryptocurrencies due to financial risks, volatility, and potential links to illicit activities, although it stopped short of an outright ban on possession or trading. Financial institutions were also restricted from facilitating crypto transactions. In 2020 and again in early 2022, the BNA indicated it was assessing the risks and considering regulatory approaches, acknowledging the growing virtual assets market.

Angola's primary Anti-Money Laundering and Counter-Financing of Terrorism (AML/CFT) law, Law No. 5/20 of January 27, 2020, does define "virtual assets" and mandates that competent authorities should ensure AML/CFT regulations apply to virtual asset service providers (VASPs), requiring licensing/registration and supervision. However, as of mid-2024, specific regulations implementing these requirements for VASPs (like exchanges facilitating retail trading) had reportedly not yet been approved or put into effect. Law 5/20 itself does not designate VASPs as specific subject entities nor trading as a specific subject activity needing distinct regulation beyond the general mandate.

Therefore, while the AML framework acknowledges virtual assets, the specific regulatory infrastructure for overseeing retail trading platforms and activities is absent. Individuals in Angola engaging in crypto trading often do so through international online exchanges, operating outside any Angola-specific regulatory oversight for this asset class. The government has not declared owning or trading cryptocurrencies illegal, but the official stance remains cautionary, and the environment lacks specific consumer protection or operational rules for crypto trading platforms within Angola.

**3. Supporting Excerpts:**

*   **On the Mining Ban (April 2024):**
    *   "The “Law on the Prohibition of Cryptocurrency and Other Virtual Asset Mining” came into effect on April 10, criminalizing cryptocurrency mining with potential prison sentences ranging from 1 to 12 years. This marks a significant shift in Angola's approach to cryptocurrencies, which had previously been unregulated but advised against due to financial risks." (Source: UPay Blog, Nov 18, 2024)
    *   "Angola enacted a law in April 2024 banning cryptocurrency mining and related activities. The ban carries prison sentences of 1 to 12 years, significantly discouraging mining activity. The ban was primarily motivated by concerns over the strain on the national electrical system. The law does not explicitly address the use or trading of cryptocurrencies, leaving some uncertainty." (Source: UPay Blog, Nov 18, 2024)
    *   "Today, Angola's 'Law on the Prohibition of Cryptocurrency and Other Virtual Asset Mining' officially came into effect on April 10. The law criminalizes cryptocurrency mining, with potential prison sentences ranging from 1 to 12 years." (Source: Binance News, Apr 21, 2024)

*   **On the Ambiguity/Unregulated Status of Trading:**
    *   "Despite the explicit ban on mining, the legal status of cryptocurrency usage and trading in Angola remains ambiguous. While the government has not declared cryptocurrencies illegal, authorities have consistently advised against their use due to financial security risks. The National Bank of Angola has expressed concerns about the potential risks associated with digital assets." (Source: Datawallet, Mar 6, 2025)
    *   "Cryptocurrency trading in Angola is growing despite regulatory uncertainties... While Angola does not have a formal regulatory framework for cryptocurrency, local investors should use platforms with advanced security measures..." (Source: Datawallet, Mar 6, 2025)
    *   "The status of cryptocurrency in Angola is controversial but not illegal. Currently the Angolan Central Bank is considering a response to the use of cryptocurrency. No guidance or regulation has been issued. There you are no specific laws on cryptocurrency in Angola yet. Angola enacted a law in April 2024 banning cryptocurrency mining and related activities." (Source: Cryptocurrency Regulation Tracker - Inglis & Co Solicitors, accessed Apr 12, 2025, reflects post-mining ban status)

*   **On AML Law and Virtual Assets:**
    *   "As per Law 5/20, virtual assets are defined as a digital representation of value that may be traded or transferred by digital means and used for payment or investment purposes... The competent authorities must approve regulations that stipulate that anti-money laundering requirements are applicable to virtual assets providers and that these providers are subject to authorisation or registration and supervision. We do not yet have knowledge of these regulations being approved by competent authorities. Law 5/20 does not foresee virtual assets providers as specific subject entities nor trading of virtual assets as a specific subject activity." (Source: ICLG.com - AML Laws Report, Jun 6, 2024)

*   **On Historical Context/Warnings:**
    *   "Generally, although the use of cryptocurrency is not illegal, the Government in Angola advises against its use due to the financial risk of insecurity." (Source: Freeman Law, referencing pre-2024 status but consistent with current advice mentioned by Datawallet)
    *   "Cryptocurrencies are not illegal in Angola, but authorities have warned against transacting with them, going as far as restricting financial institutions from dealing with the asset class." (Source: Mariblock, Dec 13, 2023)

**4. Source URLs:**

*   **UPay Blog (Mining Ban & Trading Ambiguity):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqALx8-O6HHs7CEGkFV38q3_ldYt5rFSOSyKDRTc9VDvnXMcncyILaXZWvQsEm4sS1QlsOHKgk-dkcNYmK-nTTVUixaicsUdeUd5zSPCfudQuppuvt96Cxnz-xR3uOXxUSDvBw0hU` (Note: This URL may be specific to the search session, the original source is likely the UPay Blog website)
*   **Datawallet (Trading Ambiguity & Exchanges):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqAJjn8ezolUkEAYWu68UuGYv5hkYM_HR-O3y8U_JrOGTnxGvexfhXiGMQrB3Wrcm6oCdlOI-W_oA6dxrsrFHAiDu3Q9k-TLqkPVDMukdivp85UMCe8uPMYv34jL1lc_6jnLfx2W5OphBjO5zwEsxW5fnSttk5g==` (Note: This URL may be specific to the search session, the original source is likely the Datawallet website)
*   **ICLG.com (AML Law 5/20):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqAKg6Tch0G_LRXUdVJDDVa_8J04-kVlJCszDbAT46Q8dcWDLjxgfapmbWPCkboSNY3oWe0eXbOt_iRmgmYfR9dE8FvIEGWp-k4QxK4BAWCJ7f_lvwoq84jzFEdrkVilNoMQRYrl91qCLy1jx3ouFa7uoL-ZvhdkUasIXbwP8EN24fOTpFeYsuxI=` (Note: This URL may be specific to the search session, the original source is likely `https://iclg.com/practice-areas/anti-money-laundering-laws-and-regulations/angola`)
*   **Binance News (Mining Ban Law Enactment):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqAKlhIzfdDTcwfcuxa1dkVA1vH4aPiuF4ZUOk9HXIBGQH_7hgxsZzCSuxQD3VNEvCb6ReBoNy0yLDnWaL4xf9k-RZN0IEMhSFEynxXdAxZvwldKY4AEPupUnwdZADB-TlQscH9fdlK4KeQ81B5eRTUtxf6AjvTwiEgrrQJjbsSVBYvN47xvjseGhmc9bTW35aqe6yhJltTTFZOP0KevdzaUXsKe30--E19c5SRRiAKubn_B-5hPT2cswgrObIJrzyA==` (Note: This URL may be specific to the search session, the original source is likely `https://www.binance.com/en/square/news`)
*   **Cryptocurrency Regulation Tracker (Inglis & Co):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqAKt_s-j837fGWX9K5kA_VIGcNN2Mzh-lOVqq_2oBrmHR5-iXJIEjz7f5Qu11g_VxCPn_GtHRSls7YTRtP5Fj9WluH9bAB4u0P6azKBXqr-CSuleSRlro0bbA6qFs1ueuN5SPX218ggE8XMQXgRlTtti` (Note: This URL may be specific to the search session, the original source is likely a page on the Inglis & Co Solicitors website)
*   **Freeman Law (Historical Context):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqALCS8kiXkNY4BRURamIZGsGimuIMDqkirxew_Xg0ABkLGjHjh8GD1AAAryIslS7L4kBMpIomhbPK6XBl4OFVjQWCp3wy6P8-HVNiWFJjLitSBqeQ71sGa9T-FLWDcSdHW2ond4=` (Note: This URL may be specific to the search session, the original source is likely `https://freemanlaw.com/angola-and-cryptocurrency/`)
*   **Mariblock (Historical Context/Warnings):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqAKpxp7xdy3JYJgmMCSXuSGf1l94aUkJ-y7g8UgbiFQ_BQvIXFNWkJ_BVCIf43imzCSXYJdsygRj-lr5q3Msd2XNjXdihLelMBNSu0ZBPEy-4w4q2uEN3OBpn7phWkYFTAS_fLnk1e0G6L2LDTOxImSZo3thy8sTIZxnlwAUZHSWHnjlO8fI_3RGtCHmep01VYIjO4X7xI43ZI70EA==` (Note: This URL may be specific to the search session, the original source is likely the Mariblock website)
*   **Law No. 5/20 (AML Law Text - via FATF):** `https://vertexaisearch.cloud.google.com/grounding-api-redirect/AWQVqAL10qtkZjKsNxybfb7U5f5DqGMLIb9smnjMC6V9aId1SjsMCHN8cXCFRnJwIpWlq4DXVboj512H2XCHSaMJ3cDvb43sd7JUhyAtXLiBz3s9nFENS9jX5rHnWZ71XMFq64tFDQJYbrJOjpu3jSLBRFdY62JRCXvAlUnJFNw6pKV0B9P0a9X6mzzf7xgDrajXZMzKlZ0aapfmu-RBGTpu60ENNFi23AUdoDfAtBRiARMI` (Note: This URL may be specific to the search session, the original source is likely a document repository like the FATF website containing Angolan legislation)

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**End of Report**

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