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Democratic Republic of the Congo

Retail_Trading_Status

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2025-06-26 13:19
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Executive Summary

Retail cryptocurrency trading in the Democratic Republic of Congo (DRC) exists in a 'Gray-Zone,' as it's not explicitly banned but lacks specific regulations. The Banque Centrale du Congo (BCC) has historically cautioned against crypto risks, but citizens can acquire and trade crypto at their own risk. A draft Digital-Asset Law is under review, aiming to license exchanges and token issuers, with AML/KYC requirements outlined in existing financial regulations and future sandbox rulebooks. Cryptocurrencies are not recognized as legal tender.

Key Pillars

  • Primary Regulator: The Banque Centrale du Congo (BCC) monitors and issues warnings regarding cryptocurrency risks, though it does not currently regulate or authorize local exchanges.
  • Core Compliance: Existing AML/KYC regulations apply, particularly Law No. 04/016 of 19 July 2004, requiring banks and mobile-money operators to identify customers and report suspicious transactions, including crypto-related cash flows exceeding USD 10,000.
  • Licensing: No specific crypto exchange licenses are currently issued, but a draft Digital-Asset Law aims to introduce Digital-Asset Service Provider (DASP) licenses in late 2025.

Landmark Laws

  • Law No. 04/016 of 19 July 2004: Concerns the fight against money laundering and terrorist financing, requiring banks and mobile-money operators to identify customers and report suspicious transactions.
  • Draft Digital-Asset Law (Projected Q4 2025): Under inter-ministerial review, aiming to issue licenses to exchanges and token issuers. Expected to be debated in parliament in Q4 2025 and would introduce Digital-Asset Service Provider (DASP) licenses.

Considerations

  • Legal Classification: Cryptocurrencies are not recognized as legal tender in the DRC.
  • Tax Treatment: Cryptocurrency gains are subject to general capital-income regulations. There were discussions in 2024 about a potential 5% withholding tax on crypto-fiat conversions exceeding USD 5,000.
  • Risks: The BCC has warned about the risks associated with cryptocurrencies, including fraud.
  • Operational Challenges: All retail bills must be paid in the local currency (Congolese Franc - CDF) or US Dollars. The lack of specific crypto-focused laws and licensing creates legal ambiguity and a lack of formal consumer protection.

Notes

  • Historical Context: In 2018 and 2020, the BCC issued public warnings that crypto schemes were unauthorized and posed fraud risks. These warnings emphasized that cryptocurrencies are not legal tender and that engaging in such transactions is at the individual's own risk.
  • Future Plans: The DRC government is showing increasing interest in digital assets and blockchain technology, with ongoing efforts to establish a regulatory framework. The DRC is also working on a national digital identification system ('DRCPass') which will incorporate e-KYC services.
  • Source Accessibility: It is important to distinguish between the Democratic Republic of Congo (DRC or Congo-Kinshasa) and the Republic of Congo (Congo-Brazzaville), as their legal and regulatory environments can differ significantly.
  • Practical Workarounds: Despite warnings, individuals engage in crypto activities largely in an unofficial or unregulated space.

Detailed Explanation

Retail cryptocurrency trading in the Democratic Republic of Congo (DRC) operates within a 'Gray-Zone.' While possessing and transacting in cryptocurrencies isn't explicitly illegal, a comprehensive regulatory framework is absent, creating uncertainty. The Banque Centrale du Congo (BCC), the central bank, has historically issued warnings regarding the risks associated with cryptocurrencies. In 2018 and 2020, the BCC cautioned that crypto schemes were unauthorized and posed fraud risks. More direct warnings in 2018 and July 2020 stated that cryptocurrencies like Bitcoin were not regulated, not authorized to operate, and were even 'proscribed' or 'interdits' (forbidden). These pronouncements emphasized that cryptocurrencies are not legal tender and that those engaging in such transactions do so at their own risk.

Despite these warnings, current information suggests that individuals can acquire and trade crypto at their own risk. However, cryptocurrencies are not recognized as a medium of exchange; all retail bills must be paid in the local currency (Congolese Franc - CDF) or US Dollars. The DRC government has shown an increasing interest in digital assets and blockchain technology, with ongoing efforts to establish a regulatory framework. A draft Digital-Asset Law was reportedly under inter-ministerial review with the aim of issuing licenses to exchanges and token issuers by late 2025, and is expected to be debated in parliament in Q4 2025. This proposed bill would introduce Digital-Asset Service Provider (DASP) licenses.

Existing Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations apply, specifically Law No. 04/016 of 19 July 2004, which concerns the fight against money laundering and terrorist financing. Banks and mobile-money operators are currently required to identify their customers and report suspicious transactions, including crypto-related cash flows exceeding USD 10,000. A future sandbox rulebook is anticipated to extend similar standards to licensed exchanges. The DRC is also working on a national digital identification system ('DRCPass') which will incorporate e-KYC services, indicating a move towards more robust identity verification in the digital space.

Taxation of cryptocurrency gains is currently subject to general capital-income regulations. Discussions occurred in 2024 regarding a potential 5% withholding tax on crypto-fiat conversions exceeding USD 5,000. The current situation is characterized by individuals engaging in crypto activities largely in an unofficial or unregulated space. While the government is moving towards regulation, the lack of specific crypto-focused laws and clear licensing for exchanges means retail trading operates with a degree of legal ambiguity and without formal consumer protection mechanisms specific to crypto. This 'regulatory grey zone' leaves startups unlicensed and investors cautious.

Summary Points

Retail Cryptocurrency Trading Status in the Democratic Republic of Congo (DRC)

Overall Status: Gray-Zone - Not explicitly banned, but lacks comprehensive regulation, creating uncertainty.

I. Regulatory Bodies and Their Roles

  • Banque Centrale du Congo (BCC):
    • Primary regulatory body.
    • Allows citizens to acquire and trade crypto "at their own risk."
    • Has not legalized any local exchanges or recognized crypto as legal tender.
    • Issued warnings (2018, 2020) about the risks of unauthorized crypto schemes and fraud.
    • Stated that cryptocurrencies are not regulated or authorized to operate in the DRC.

II. Key Legislation and Regulations

  • Lack of Specific Crypto Legislation: No specific laws or regulations dedicated to cryptocurrencies currently exist.
  • Draft Digital-Asset Law (Expected Q4 2025):
    • Under inter-ministerial review.
    • Aims to issue licenses to exchanges and token issuers.
    • Expected to be debated in parliament in Q4 2025.
    • Will introduce Digital-Asset Service Provider (DASP) licenses.
  • Law No. 04/016 of 19 July 2004 (AML/CFT): Concerns the fight against money laundering and terrorist financing.

III. Requirements for Compliance

  • General Financial Regulations Apply: Existing AML/KYC regulations apply to crypto-related activities.
  • AML/KYC Requirements for Banks and Mobile-Money Operators:
    • Required to identify customers.
    • Report suspicious transactions, including crypto-related cash flows exceeding USD 10,000.
  • Future Sandbox Rulebook: Expected to extend similar AML/KYC standards to licensed exchanges.
  • DRCPass (National Digital Identification System):
    • Incorporates e-KYC services.
    • Indicates a move towards more robust identity verification.

IV. Notable Restrictions and Limitations

  • Not Legal Tender: Cryptocurrencies are not recognized as legal tender.
  • Payment Restrictions: All retail bills must be paid in Congolese Franc (CDF) or US Dollars.
  • Lack of Consumer Protection: Absence of specific crypto-focused laws and licensing means retail trading operates without formal consumer protection mechanisms.
  • Unlicensed Startups: The "regulatory grey zone" leaves startups unlicensed.

V. Taxation

  • General Capital-Income Regulations Apply: Cryptocurrency gains are currently subject to general capital-income regulations.
  • Potential Withholding Tax (Discussions in 2024): Discussions about a potential 5% withholding tax on crypto-fiat conversions exceeding USD 5,000.

VI. Recent Developments and Changes

  • Increasing Government Interest: The DRC government has shown increasing interest in digital assets and blockchain technology.
  • Ongoing Efforts to Establish a Regulatory Framework: Active work is being done to develop a legal framework for digital assets.
  • DRCPass Initiative: Launch of a nationwide digital identity system.

Full Analysis Report

Report on Retail Cryptocurrency Trading Status in Congo

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).

Retail_Trading_Status in Congo (Democratic Republic of Congo - DRC)

Status: Gray-Zone

Narrative Explanation:

The status of retail cryptocurrency trading in the Democratic Republic of Congo (DRC) is best described as a "Gray-Zone". While not explicitly banned for individuals to possess and transact, there is a significant lack of a specific, comprehensive regulatory framework governing these activities. This creates an environment of uncertainty and risk for retail traders.

Historically, the Banque Centrale du Congo (BCC), the central bank, has issued warnings regarding the risks associated with cryptocurrencies. In 2018 and 2020, the BCC publicly cautioned that crypto schemes were unauthorized and posed fraud risks. More direct warnings in 2018 and July 2020 stated that cryptocurrencies like Bitcoin were not regulated, not authorized to operate, and even "proscribed" or "interdits" (forbidden) in the DRC. These pronouncements emphasized that cryptocurrencies are not legal tender and that those engaging in such transactions do so at their own risk.

Despite these past warnings and the lack of official authorization for local exchanges, current information suggests that possessing and trading cryptocurrencies by individuals is not strictly illegal. Several sources indicate that citizens can acquire and trade crypto at their own risk. However, cryptocurrencies are not recognized as a medium of exchange, and all retail bills must be paid in the local currency (Congolese Franc - CDF) or US Dollars.

The DRC government has shown an increasing interest in digital assets and blockchain technology. There are ongoing efforts to establish a regulatory framework. A draft Digital-Asset Law was reportedly under inter-ministerial review with an aim to issue licenses to exchanges and token issuers by late 2025. This proposed bill is expected to be debated in parliament in Q4 2025 and would introduce Digital-Asset Service Provider (DASP) licenses.

In terms of Anti-Money Laundering (AML) and Know Your Customer (KYC) requirements, existing general financial regulations apply. Law No. 04/016 of 19 July 2004 concerns the fight against money laundering and terrorist financing. Banks and mobile-money operators are currently required to identify their customers and report suspicious transactions, including crypto-related cash flows exceeding USD 10,000. It is anticipated that a future sandbox rulebook will extend similar standards to licensed exchanges. The DRC is also working on a national digital identification system ("DRCPass") which will incorporate e-KYC services, indicating a move towards more robust identity verification in the digital space.

Taxation of cryptocurrency gains is currently subject to general capital-income regulations. There were discussions in 2024 about a potential 5% withholding tax on crypto-fiat conversions exceeding USD 5,000.

The current situation is one where individuals engage in crypto activities largely in an unofficial or unregulated space. While the government is moving towards regulation, the lack of specific crypto-focused laws and clear licensing for exchanges means retail trading operates with a degree of legal ambiguity and without formal consumer protection mechanisms specific to crypto. This "regulatory grey zone" leaves startups unlicensed and investors cautious.

Relevant Text Excerpts and Sources:

  • Coinfomania (June 19, 2025): "Legal Status: Crypto is legal to possess and transact, although not considered as a medium of exchange; all retail bills have to be paid in CDF or USD."
  • Coinfomania (June 19, 2025): "Regulation is mainly under the Banque Centrale du Congo (BCC), which enables citizens to acquire and trade crypto at their own risk but has not legalised any local exchange or deemed crypto as legal tenders yet."
  • Coinfomania (June 19, 2025): "2018–2020: BCC gave out warnings publicly that crypto schemes were not authorised and that users would be at risk of fraud."
  • Coinfomania (June 19, 2025): "2025: A draft of a broader Digital-Asset Law was put under inter-ministerial review with the view to issuing licenses to exchanges and token issuers in late 2025."
  • Coinfomania (June 19, 2025): "AML/KYC Requirements: Banks and mobile-money operators should identify their customers and send Suspicious Transaction Reports in case of crypto-related cash flows above USD 10 000. A sandbox rulebook will transfer the same standards to licensed exchanges."
  • AInvest (June 19, 2025): "The Democratic Republic of the Congo (DRC) is cautiously embracing digital-asset activity while aiming to safeguard its emerging financial sector. The primary regulatory body, the Banque Centrale du Congo (BCC), allows citizens to acquire and trade cryptocurrencies at their own risk. However, no local exchange has been legalized, and crypto is not recognized as legal tender."
  • AInvest (June 19, 2025): "While possession is legal, there are no official permits and consumer protection measures, making activity mainly unofficial. If the regulations are practical and enforcement is not over-aggressive, the implementation of the 2025 Digital-Asset Bill by parliament could transition the DRC from a grey-market experience to a regulated but innovation-friendly environment."
  • Bitcoin.com (2025): "Is crypto trading legal in Congo? Yes, crypto trading is legal in Congo, although it is not officially regulated by the government. Traders should remain cautious and stay updated on any future regulatory changes." (Referring to DRC)
  • Bitcoin.com (2025): "Cryptocurrency regulations in Congo are still developing. While there is no official ban on crypto trading, there is a lack of clear guidelines on how digital currencies should be regulated." (Referring to DRC)
  • UPay Blog (November 23, 2024): "Adoption Status: Yes, crypto trading is legal in the Democratic Republic of the Congo (DRC), but it's not officially regulated by the government."
  • UPay Blog (November 23, 2024): "While there's no official ban on cryptocurrency, the country lacks comprehensive regulations, though they're actively working on developing a legal framework."
  • Actualite.cd (July 16, 2020): "La Banque centrale du Congo, pour la énième fois, alerte le public que les cryptomonnaies, Bitcoins et autres monnaies virtuelles proposées sur des plateformes électroniques ne sont ni règlementés ni autorisés à opérer en République démocratique d." (Translation: "The Central Bank of Congo, for the umpteenth time, alerts the public that cryptocurrencies, Bitcoins and other virtual currencies offered on electronic platforms are neither regulated nor authorized to operate in the Democratic Republic of Congo.")
  • DeskEco (July 16, 2020): "La Banque centrale du Congo, pour la énième fois, alerte le public que les cryptomonnaies, Bitcoins et autres monnaies virtuelles proposées sur des plateformes électroniques ne sont ni règlementés ni autorisés à opérer en République démocratique du Congo." (Translation: "The Central Bank of Congo, for the umpteenth time, alerts the public that cryptocurrencies, Bitcoins and other virtual currencies offered on electronic platforms are neither regulated nor authorized to operate in the Democratic Republic of Congo.")
  • DeskEco (November 12, 2018): "Les crypto-monnaies n'ont pas cours légal en République démocratique du Congo, rappelle la Banque centrale du Congo (BCC)." (Translation: "Cryptocurrencies do not have legal tender status in the Democratic Republic of Congo, recalls the Central Bank of Congo (BCC).")
  • Smile ID: "The primary KYC/AML regulation in the Democratic Republic of Congo is Law No. 04/016 of 19 July 2004 concerning the fight against money laundering and terrorist financing."
  • TradingView (GlobeNewswire, June 25, 2025): "Under the accord, Trident is the Republic's exclusive provider of electronic Know Your Customer (“e-KYC”) services, delivering the Web 3.0-based national digital identity." (Referring to the DRCPass initiative)

Direct URL Links to Sources:

  1. https://coinfomania.com/cryptocurrency-regulation-in-the-democratic-republic-of-the-congo-drc/
  2. https://ainvest.com/news/drc-embraces-crypto-with-5-tax-on-gains-over-usd-5-000-20250619101132/
  3. https://www.imf.org/en/Blogs/Articles/2022/11/21/africas-growing-crypto-market-needs-better-regulations (Note: This IMF article from Nov 2022 lists "Republic of Congo" as having banned crypto, which is distinct from the DRC. It's important to differentiate between the two Congos.)
  4. https://www.bitcoin.com/get-started/best-crypto-exchanges-in-congo/ (Refers to DRC in the FAQ "Is crypto trading legal in Congo?")
  5. https://upay.co.za/blog/crypto-adoption-around-the-world-democratic-republic-of-the-congo-drc/
  6. https://ueex.com/blog/best-crypto-exchanges-in-congo-congo-brazzaville-for-2025-202504290001/ (Refers to Congo-Brazzaville, not DRC)
  7. https://usesmileid.com/countries/democratic-republic-of-congo-identity-verification/
  8. https://www.bitcoin.com/fr/get-started/best-crypto-exchanges-in-congo/ (French version of, refers to RDC)
  9. https://actualite.cd/2020/07/16/la-bcc-insiste-le-bitcoin-et-toutes-les-autres-cryptomonnaies-sont-interdits-en-rdc
  10. https://deskeco.com/2020/07/16/la-banque-centrale-alerte-le-public-que-les-crypto-monnaies-bitcoins-et-autres-monnaies
  11. https://deskeco.com/2018/11/12/rdc-la-banque-centrale-proscrit-lutilisation-des-crypto-monnaies
  12. https://freemanlaw.com/central-african-states-cryptocurrency/ (General overview of Central African States, mentions Republic of the Congo as part of CEMAC)
  13. https://www.ciomag.com/rdc-linteret-porte-sur-les-cryptomonnaies-par-le-gouvernement-suscite-des-craintes/
  14. https://ejara.io/fr/buy-bitcoin-in-congo-fr (Refers to Congo-Brazzaville 🇨🇬)
  15. https://kriptomat.io/kyc-aml-cft-policy/ (Lists DRC as a country with prohibition/restriction, but this may be outdated or a general risk assessment by the platform rather than a legal ban on individual holding)
  16. https://upay.co.za/blog/crypto-adoption-around-the-world-republic-of-congo/ (Refers to Republic of Congo/Congo-Brazzaville)
  17. https://numerico.cd/2024/05/31/fintech-les-cryptomonnaies-et-les-defis-de-leur-regulation-en-rdc
  18. https://www.binance.com/fr/blog/markets/achetez-de-la-cryptomonnaie-avec-mobile-money-421499824684903501 (Announces Binance mobile money integration for RDC)
  19. https://www.cairn.info/revue-internationale-de-droit-economique-2019-3-page-363.htm (Discusses CEMAC zone, which includes Republic of Congo, not DRC primarily)
  20. https://uqudo.com/digital-identity-verification-solutions-in-congo/ (Refers to DR Congo for KYC/AML solutions)
  21. https://risk.lexisnexis.com/global/en/financial-crime-compliance/cryptocurrency-kyc-aml (General information on crypto KYC/AML)
  22. https://www.adiac-congo.com/content/zone-cemac-vers-la-reglementation-de-la-crypto-monnaie-139416 (Discusses CEMAC zone)
  23. https://en.wikipedia.org/wiki/Legality_of_cryptocurrency_by_country_or_territory (General reference, ensure to check specific Congo entries and their distinction)
  24. https://www.tradingview.com/news/globenewswire:6aba7e81b090e:0-trident-and-democratic-republic-of-congo-sign-final-digital-identity-partnership-and-launch-nationwide-drcpass-deployment/

It is important to distinguish between the Democratic Republic of Congo (DRC or Congo-Kinshasa) and the Republic of Congo (Congo-Brazzaville), as their legal and regulatory environments can differ significantly. This report focuses on the Democratic Republic of Congo.

Web Sources (10)

Sources discovered via web search grounding

Search queries used (8)
  • Retail cryptocurrency trading status Congo
  • Congo cryptocurrency regulations
  • Is cryptocurrency legal in Congo for individuals?
  • KYC/AML crypto Congo
  • Official statements cryptocurrency Congo
  • Banque Centrale du Congo cryptocurrency
  • Réglementation des crypto-monnaies Congo
  • Acheter vendre crypto-monnaie Congo légal
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