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

The Virtual Asset Service Providers Act, 2024 was enacted 30 August 2024 and came into force 1 September 2024, creating Seychelles' first comprehensive crypto licensing regime. Existing operators were required to submit complete FSA license applications by 31 December 2024 to continue operating lawfully during review.

The FSA issues four VASP license types: Virtual Asset Exchange (USD 150,000 minimum capital), Virtual Asset Broker (USD 75,000), Virtual Asset Wallet/Custody Provider (USD 25,000), and Virtual Asset Investment Provider (USD 50,000). Only domestic companies and International Business Companies (IBCs) are eligible; individuals may not hold a license.

All licensees must maintain a staffed physical office in Seychelles and appoint at least one resident director. From 2025 the FSA requires applicants to demonstrate live operational systems in an on-site walk-through during the licensing assessment; incomplete systems result in rejection regardless of documentation completeness.

The VASP Act expressly prohibits the operation of cryptocurrency mining facilities, mixers, and tumbler services. Use of crypto-related terms such as 'blockchain', 'DeFi', and 'cryptocurrency' in company or trade names is restricted to licensed VASPs.

Carrying on virtual asset services in or from Seychelles without an FSA license is a criminal offence. Penalties on conviction include fines up to USD 350,000 or imprisonment up to 15 years.

All VASPs are designated reporting entities under Seychelles' Anti-Money Laundering and Countering the Financing of Terrorism Act and must also comply with the Financial Consumer Protection Act, 2022. Mandatory KYC/AML procedures, cybersecurity controls, and regular FSA reporting apply.