World Watch/Egypt/Crypto & Digital Assets

Crypto & Digital Assets · Egypt

Is crypto legal in Egypt? Regulation & rules (2026)

RestrictedCentral Bank of Egypt and Banking System Law No. 194 of 2020 (notably Art. 206), enforced by the Central Bank of Egypt (CBE)Country index 74 · B+

Egypt shaded by its crypto & digital assets status

Egypt prohibits the issuance, trading, promotion, brokering, and operation of crypto/digital-asset platforms without prior CBE license under Law No. 194 of 2020. Because the CBE has never issued any such license and has issued repeated public warnings, this functions as a de facto total ban backed by criminal penalties (imprisonment and fines up to EGP 10 million). There is no licensing, tax, custody, or DeFi framework in force.

Key points

Statutory prohibition

Law No. 194 of 2020 (Art. 206) bars issuing, trading, promoting, or running platforms dealing in crypto assets, or providing related services, without prior CBE authorization.

No licenses ever granted

The CBE has issued no licenses for crypto activity, so the conditional prohibition operates as a comprehensive de facto ban on exchanges and service providers.

Criminal penalties

Violations carry imprisonment and fines reported in the range of roughly EGP 200,000 to EGP 10 million; enforcement is treated as a financial crime rather than a regulatory matter.

Repeated official warnings

The CBE has issued successive public warnings (2018, 2020, 2022, 2023) that crypto assets are not legal currency, are highly risky, and that dealing in them is prohibited; the State Information Service has amplified these.

No tax framework

Because crypto is not a recognized legal asset, the Egyptian Tax Authority provides no mechanism to declare crypto gains; there is no capital-gains, income, or VAT regime specific to digital assets.

Religious ruling reinforces stance

Egypt's Dar al-Ifta issued a non-binding fatwa declaring cryptocurrency trading impermissible (haram), reinforcing the prohibitive policy environment.

Timeline - major decisions & events

May 12, 2025guidance
FRA renews public warning against crypto dealing amid ad surge

Egypt's Financial Regulatory Authority issued a fresh warning against trading or investing in cryptocurrencies after a rise in local online ads, reiterating that the assets lack legal backing and could be used in fraud, money laundering and terror financing. It reaffirmed that Law 194 of 2020 criminalizes such activity and urged citizens to report it.

AGBI
Mar 30, 2023enforcementofficial
Authorities arrest 29 over fraudulent crypto investment scheme

Egyptian prosecutors announced the arrest of 29 people accused of running an unlicensed cryptocurrency investment scheme that defrauded the public, illustrating active enforcement of the crypto prohibition. The case underscored official concern about crypto-linked fraud.

U.S. Library of Congress (Global Legal Monitor)
Mar 8, 2023guidanceofficial
CBE issues fourth warning statement on cryptocurrencies

The Central Bank of Egypt reiterated that dealing in all types of crypto assets — by individuals, companies, apps or platforms — is prohibited and that no license has ever been granted under Law 194 of 2020. It cited extreme price volatility and illicit-use risks.

Central Bank of Egypt
Aug 1, 2022guidance
CBE signals plans for an 'e-Pound' CBDC, targeting 2030

In its financial stability report the Central Bank of Egypt confirmed work on a central bank digital currency (the e-Pound) and e-KYC, later set for a 2030 launch tied to financial-inclusion goals — positioned partly to head off private cryptocurrency adoption. A first feasibility-study phase was completed by 2024.

Digital Pound Foundation
Jan 1, 2021guidance
CBE reiterates warning that crypto are not legal currencies

The Central Bank of Egypt repeated its position that crypto assets are not currencies because they are not issued by any official authority and have no legal backing, warning that losses from trading would not be recoverable under Egyptian law. The statement reinforced the framework set by Law 194 of 2020.

Andersen Egypt
Sep 1, 2020law
Banking Law 194 of 2020 criminalizes crypto without a CBE license

Egypt's Central Bank and Banking System Law No. 194 of 2020, via Article 206, prohibits issuing, trading, promoting or operating platforms for crypto assets and e-money without a CBE license — establishing the de facto ban that still governs the country. Penalties include imprisonment and fines up to EGP 10 million.

Egypt Today
Jan 10, 2018guidanceofficial
Central Bank of Egypt issues first formal crypto warning

The CBE published a 'Warning Statement' cautioning the public against trading cryptocurrencies such as Bitcoin, citing extremely high risk and lack of legal protection — its first formal public stance, predating the 2020 statutory ban. It set the tone for repeated warnings in following years.

Central Bank of Egypt
Dec 1, 2017guidance
Dar al-Ifta declares cryptocurrency trading haram

Egypt's top Islamic authority, Dar al-Ifta, issued a fatwa by Grand Mufti Shawki Allam ruling that buying, selling and trading Bitcoin is forbidden under Sharia, likening it to gambling and citing risks to financial stability and potential terror financing. Though non-binding, the ruling shaped public sentiment and the state's restrictive approach.

Egypt Independent

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Last verified 5/23/2026 · Orientation, not legal advice - verify against the primary sources linked above. Explore the full world map →