Is Crypto Legal in Honduras? Understanding Current Regulations and Limitations

Cryptocurrency in Honduras occupies a legally ambiguous space. While the use of digital assets is not explicitly banned, the country does not currently recognize cryptocurrencies as legal tender. The Central Bank of Honduras has issued public warnings emphasizing that it does not supervise or guarantee the safety of virtual currency transactions. This cautious stance reflects broader concerns about volatility, consumer protection, and potential misuse in financial crimes.

In 2022, the Central Bank reiterated that cryptocurrencies like Bitcoin and Ethereum are not supported by the nation’s financial framework. The regulatory body highlighted that no institution in Honduras is authorized to operate with or promote digital assets. Consequently, while individuals may privately engage in crypto transactions, they do so at their own risk and without government protection in the event of fraud or loss (1).

"The Central Bank of Honduras does not supervise or guarantee the operations carried out with cryptocurrencies as means of payment in the national territory." (1)

Despite the regulatory limitations, there have been experiments with digital assets in Honduras. One prominent example is “Próspera,” a semi-autonomous zone on Roatán island, which adopted Bitcoin as a legal method of exchange within its jurisdiction. However, this local initiative does not reflect nationwide policy and operates within a special legal framework. Until Honduras establishes a comprehensive regulatory system for digital currencies, crypto use remains largely unregulated and unsupported at the national level (2).

Source:
https://www.bch.hn/estadisticas-e-indicadores/aviso-sobre-el-uso-de-criptomonedas
https://prospera.hn/

Last updated: 16-05-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.