Muslim Countries where Bitcoin is Legal or Illegal

Is cryptocurrency legal in your country? Want to know the legality of cryptocurrency in other Muslim countries? With the expansive growth of cryptocurrency worldwide, many governments are now developing laws to deal with the use of cryptocurrencies by their citizens.

Below you will find a list of Muslim countries along with the legal ruling of cryptocurrency by their governments.

Bitcoin Legality in Africa

Algeria

Illegal - The Financial Law of Algeria rules cryptocurrency as illegal.

Burkina Faso

Djibouti

No information found.

Egypt

Illegal - Grand Mufti of Egypt, Mufti Shawki Allam has ruled Bitcoin to be haram.

Gambia

No clear ruling on its legality, but Bitcoin is bought and used in Gambia.

Guinea

Guinea-Bissau

Lybia

Illegal - Central Bank of Libya rules Bitcoin as illegal.

Mali

Mauritania

No information found.

Morocco

Illegal - The Foreign Exchange Office has ruled Bitcoin illegal.

Niger

Senegal

No ruling on crypto but the Senegalese government is exploring their own crypto currency.

Somalia

No information found.

Sudan

No clear ruling on its legality, but the country is actively adopting digital payments in addition to cash payments.

Tunisia

No clear ruling on crypto and the Central Bank of Tunisia has denied that it is launching their own digital currency.

Bitcoin Legality in Asia

Afghanistan

No clear ruling on its legality, but the Afghanistan Chamber of Commerce and Investment is exploring blockchain technology to bring accuracy and transparency to Afghanistan government databases.

Bangladesh

Illegal - The Central Bank of Bangladesh has banned cryptocurrency in 2017, yet in 2020 the Bangladesh government has developed a National Blockchain Strategy for their country.

Brunei

Legal - Not regulated - Not recognized as legal tender but permissible to use.

Indonesia

Legal - Not recognized as legal tender but the Indonesian government says it is permissible to use and trade.

Haram - Even though the government allows cryptocurrency activities, the Indonesian Ulema Council (MUI) has issued a fatwa saying Bitcoin and all cryptocurrencies are haram.

Kazakhstan

Unclear - Kazakhstan government leans toward banning cryptocurrencies, but is developing laws to regulate blockchain technology. The Kazakhstan government is also seeking to legalize crypto-mining as a means to generate investment revenue for the government.

Kyrgyzstan

The National Bank of the Kyrgyz Republic is in the process of legalizing crypto by developing laws to regulate buying, selling, trading and mining cryptocurrency.

Malaysia

Legal - Not recognized as legal tender but permissible to use and trade.

Pakistan

Legal - Not regulated - Not recognized as legal tender but permissible to use. Khyber Pakhtunkhwa government is building a crypto mining farm.

Tajikistan

No government ruling on crypto. The National Bank of Tajikistan warns against the use of crypto and does not recognize crypto as legal tender.

Turkmenistan

No information found.

Uzbekistan

Illegal - Buying and selling cryptocurrency is banned, but the government has established a blockchain development fund called, Digital Trust, to use blockchain technology in the country's public sector.

Bitcoin Legality in Europe

Albania

The Albanian government is moving towards legalizing cryptocurrency by passing a law called, Financial Markets Based on Distributed Ledger Technology.

Azerbaijan

No government ruling on crypto and the Central Bank of Azerbaijan has warned citizens about the risks of cryptocurrencies.

Bosnia and Herzegovina

Legal - Not regulated - Not recognized as legal tender but permissible to use

Bitcoin Legality in the Middle East

Bahrain

Legal - Legal to buy, sell, and trade crypto. The Central Bank of Bahrain has recently issued a license to operate a sharia compliant cryptocurrency exchange in their country.

Iran

Legal - Legal to buy, sell, and trade crypto, but the local media warns of risk and volatility in the crypto market.

Iraq

Illegal - The Central Bank of Iraq has banned the use of cryptocurrency and those who use it will be punished under the Anti-Money Laundering law.

Jordan

Legal - Legal to buy, sell, and trade crypto but not supported by the government. The Central Bank of Jordan has prohibited all financial companies in dealing with virtual currencies.

Kuwait

No clear ruling on its legality. The Central Bank of Kuwait prohibits dealing with crypto even though there is a crypto exchange that operates in Kuwait called DigiDinar.

Lebanon

Legal - Legal to buy, sell, and trade crypto but there is no government regulation. Central banks may put restrictions on buying crypto and crypto buying is mostly done peer to peer and not through exchanges.

Oman

Legal - Legal to buy, sell, and trade crypto but there is no government regulation. The Central Bank of Oman warns that those who use crypto currency do so at their own risk and have no protection from the central bank or banking law of the country.

Palestine

Legal - Legal to buy, sell, and trade crypto. The Palestinian Monetary Authority is seeking to develop their own digital currency.

Qatar

Illegal - The Qatar Financial Centre Regulatory Authority (QFCRA) has banned all activity with virtual assets except assets known as security tokens that are issued by the QFCRA.

Saudi Arabia

Legal - Legal to buy, sell, and trade crypto, but the Saudi Arabian Monetary Authority warns against deal with cryptocurrency.

Syria

Legal - Not regulated - economic sanctions are increasing use of crypto in the country.

Turkey

Legal - Legal to buy, sell, and trade crypto, but the Central Bank of the Republic of Turkey bans using cryptocurrency for payments.

United Arabs Emirates

Legal - Legal to buy, sell, and trade crypto, and the Financial Services Regulatory Authority has been proactive in developing regulations for virtual assets.

Yemen

Legal - Not regulated - being used by locals because of sanctions on Yemen, yet difficult to use due to lack of internet infrastructure within the country.

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