Legal Crypto In Antigua and Barbuda

Overview of Cryptocurrency Regulation in Antigua and Barbuda

In Antigua and Barbuda, cryptocurrency is recognized as legal, and the government has developed a progressive regulatory framework to support innovation while ensuring security and compliance. The Digital Assets Business Act of 2020, effective June 18, 2020, is the primary legislation governing cryptocurrencies, decentralized finance (DeFi), and non-fungible tokens (NFTs). The act requires all digital asset businesses to obtain licensing from the Financial Services Regulatory Commission (FSRC) and comply with anti-money laundering (AML) and counter-terrorism financing (CTF) standards aligned with the Financial Action Task Force (FATF). Additionally, the act mandates consumer protection measures, such as risk disclosures for volatility and cybersecurity threats.

Taxation of cryptocurrency transactions is governed by existing laws, potentially including income tax, though individuals are exempt from capital gains tax. Other legislation, such as the Money Services Business Act and International Business Corporations Act, may apply to specific activities, reinforcing Antigua and Barbuda’s ambition to be a fintech-friendly destination.

Popular Exchanges and Methods of Exchange

As of May 2025, no prominent local cryptocurrency exchanges operate in Antigua and Barbuda, but the Digital Assets Business Act enables the establishment of licensed platforms. Residents typically rely on international exchanges, including Binance, Coinbase, and Kraken, which require compliance with know-your-customer (KYC) and AML regulations. Peer-to-peer (P2P) trading is facilitated through platforms like LocalBitcoins or Paxful, using bank transfers or mobile payments, subject to AML/CTF compliance. Cryptocurrencies can be purchased with credit or debit cards and mobile apps, and some tourism-related businesses may accept digital assets as payment. The presence of cryptocurrency ATMs is not confirmed, but the regulatory environment is conducive to their potential adoption.

DeFi and NFT Markets

Decentralized finance (DeFi) services, such as lending and trading, are regulated as digital asset businesses under the Digital Assets Business Act. These platforms must obtain FSRC licenses and adhere to AML/CTF regulations. Due to technical complexity, DeFi adoption is limited locally, but residents can access global platforms like Uniswap and Aave, provided they comply with regulations. Similarly, the NFT market, encompassing unique digital assets like art or collectibles, requires FSRC licensing for local operations. While no significant local NFT market exists, residents can engage with platforms like OpenSea and Rarible under regulatory compliance. The potential for NFTs linked to cultural heritage or tourism presents a growth opportunity.

Challenges

The cryptocurrency sector faces risks, including illicit activities, with global illicit crypto transactions amounting to $40.9 billion in 2024, market volatility, and divergent international regulations. Antigua and Barbuda’s rigorous AML/CTF measures and consumer protection requirements serve to mitigate these risks, though vigilance remains essential for businesses.

Useful Information

Key Regulatory Details

• Primary Legislation: The Digital Assets Business Act of 2020, effective June 18, 2020, governs cryptocurrencies, DeFi, and NFTs.

• Regulatory Authority: The Financial Services Regulatory Commission (FSRC) oversees licensing and compliance.

• Licensing Requirement: Digital asset businesses must be licensed by the FSRC, demonstrating cybersecurity, financial stability, and AML/CTF compliance.

• AML/CTF Standards: Compliance with FATF-aligned regulations is mandatory for all digital asset activities.

• Consumer Protection: Businesses must inform customers about risks such as volatility and cybersecurity threats and maintain transparent records.

• Taxation: Transactions may be subject to income tax; individuals are exempt from capital gains tax.

• International Exchanges: Binance, Coinbase, and Kraken are accessible, requiring KYC/AML compliance.

• P2P Platforms: LocalBitcoins and Paxful support direct trading, regulated by AML/CTF laws.

• DeFi Regulation: Platforms like Uniswap and Aave require FSRC licensing for local operations.

• NFT Regulation: Marketplaces like OpenSea and Rarible require licensing for local operations.

• Official Resource: The FSRC website provides licensing and regulatory guidance.

• Legislation Access: Contact the FSRC for the text of the Digital Assets Business Act.

Conclusion

Through the Digital Assets Business Act of 2020, Antigua and Barbuda has established a progressive regulatory framework that supports the legal operation of cryptocurrencies, DeFi, and NFTs. The absence of local exchanges is offset by access to international platforms, while opportunities in DeFi and NFTs align with the country’s tourism-driven economy. Firms and individuals are advised to consult the FSRC to verify licensing and compliance requirements.