Cryptocurrency is currently prohibited in Bangladesh. The Bangladesh Bank has issued warnings stating that the use of virtual currencies like Bitcoin is illegal under existing anti-money laundering and anti-terrorism financing laws. In 2014, the central bank cautioned that individuals engaging in cryptocurrency transactions could face legal consequences, including imprisonment, under these stringent regulations.
Despite the ban on cryptocurrencies, the Bangladeshi government recognizes the potential of blockchain technology. The National Blockchain Strategy, developed by the Bangladesh Computer Council, aims to explore and implement blockchain solutions across various sectors to enhance transparency and efficiency in governance and business processes. This strategy indicates a distinction between the underlying technology and its application in digital currencies.
This strategy is an effort from the Government of Bangladesh that recognises the need to explore blockchain technology in order to advance its technical capabilities and improve governance (2).
While the government is open to adopting blockchain technology, it maintains a strict stance against the use of cryptocurrencies. The focus remains on leveraging blockchain for non-financial applications, ensuring that the technology contributes positively to the country's development without contravening existing financial law.
Source:
(1) Bangladesh Bank
(2) Bangladesh Computer Council
Last updated: 08-05-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
