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

The Virtual Asset Service Providers Act No. 3 of 2025 was passed 26 March 2025 and entered into force 1 April 2025, establishing a mandatory licensing and supervisory regime for all crypto businesses operating in or from Vanuatu.

The VASP Act provides five licence classes: Class D (exchange), D.1 (transfer), D.2 (custody), D.3 (financial services/ITO), and D.4 (bank). Application fees are USD 50,000 and annual licence fees are USD 100,000 per class; VFSC published revised licence-application requirements in January 2026.

Vanuatu's Parliament passed a dedicated Stablecoins Act in November 2025, making Vanuatu one of the first Pacific nations to enact bespoke stablecoin legislation with provisions for reserve backing and dedicated custody of reserves.

The VFSC has broad investigation and enforcement powers; operating without a licence or breaching the VASP Act carries fines of up to 250 million vatu (approx. USD 2 million) and prison terms of up to ten years.

The VASP Act mandates FATF AML/CFT compliance and implementation of FATF Recommendation 16 (Travel Rule) for virtual asset transfers; the framework also aligns with APG, IOSCO, and OECD standards. VFSC published a VASP & ITO Risk Assessment in November 2025.

Vanuatu's constitution prohibits income tax and capital gains tax; crypto trading profits, staking rewards, mining income, and capital gains from digital assets are therefore untaxed for individuals and corporations. A 12.5% VAT applies only to domestic goods and services transactions.