Legal Crypto In Morocco

Cryptocurrency in Morocco: What is the Legal Status and Market Trends

Cryptocurrency has become a global phenomenon in recent years, and Morocco is no exception. While an initial ban was instituted in 2017, the country appears to be on the verge of regulated adoption. This document provides insights into the legality of cryptocurrencies in Morocco, the regulatory environment, trends in exchanges, and the status of decentralized finance (DeFi) and non-fungible token (NFT) markets. It also examines cryptocurrency adoption practices and taxation policies, offering a comprehensive overview of Morocco’s digital asset landscape.

The Legality of Cryptocurrency

Cryptocurrencies have been illegal in Morocco since November 2017, when the Bank Al-Maghrib (BAM), the central bank and exchange regulatory authority, and the Moroccan Capital Market Authority (AMMC) banned all cryptocurrency transactions, including trading and mining. Despite uneven enforcement, underground use persisted, with crypto possession rising from 2.4% in 2021 to 4.9% in 2025.

In November 2024, Morocco announced plans to lift the ban and legalize cryptocurrencies. A draft bill, endorsed by BAM Governor Abdellatif Jouhari, aims to establish a structured regulatory framework for digital currencies. This shift aligns with international trends and Morocco’s exploration of a central bank digital currency (CBDC). The bill seeks to define crypto-assets, regulate transactions, and establish a legal framework for exchanges, marking a significant policy change.

Regulatory Framework

The forthcoming regulation is expected to focus on licensing crypto exchanges, implementing anti-money laundering (AML) measures, and protecting individual traders. While specifics remain limited, the legislation may draw inspiration from international standards, such as the European Union’s Markets in Crypto-Assets (MiCA) regulation. BAM emphasizes balancing innovation with financial stability, advocating for transaction oversight to prevent illicit activities.

Currently, no specific legislation governs cryptocurrencies due to the 2017 ban, though the AMMC has prosecuted unauthorized transactions. Moroccan courts have deemed Bitcoin theft a “non-crime” due to the ban, but violators face strict penalties. The new legislation is expected to address gaps, potentially introducing tax compliance and reporting requirements.

Well-Known Exchanges

Due to the ban, Morocco lacks regulated cryptocurrency exchanges. However, Moroccans access international platforms like Binance, Kraken, and Coinbase via virtual private networks (VPNs). Peer-to-peer (P2P) platforms such as LocalBitcoins and Paxful facilitate direct trades, often using mobile money or bank transfers. Morocco has no physical crypto ATMs, but informal exchange networks operate in cities like Casablanca and Rabat, relying on trusted intermediaries for cash-to-crypto transactions, which carry fraud risks.

The anticipated legalization may enable regulated exchanges to establish local operations, enhancing accessibility and security for users.

DeFi Market

Decentralized finance (DeFi) remains underdeveloped in Morocco due to the ban and limited blockchain infrastructure. Global DeFi protocols like Uniswap and Aave are accessible via VPNs, primarily by tech enthusiasts using Ethereum-based applications. Regulatory uncertainty and high Ethereum gas fees hinder broader adoption.

Legalization could spur DeFi growth by fostering blockchain development and investment. Tech hubs in Marrakech and Casablanca may emerge as centers for DeFi innovation if regulatory barriers are lifted. However, BAM’s cautious stance suggests stringent oversight of DeFi protocols to mitigate risks associated with smart contracts.

NFT Market

Morocco’s NFT market is nascent but promising. Moroccan artists have begun minting non-fungible tokens (NFTs) on platforms like OpenSea and Rarible, often incorporating cultural themes such as Berber art or Moroccan architecture. High transaction fees and limited awareness restrict mainstream adoption, with the 2017 ban indirectly stifling growth by limiting access to crypto wallets and marketplaces.

Legalization could invigorate the NFT market by enabling local platforms and fostering collaborations between artists and blockchain developers. Government incentives, such as those outlined in Morocco’s Digital Strategy 2030, may further promote innovative NFT projects.

Adoption Trends

Despite regulatory challenges, cryptocurrency adoption in Morocco is increasing. Growing interest in Bitcoin and other cryptocurrencies reflects demand for remittances, investment opportunities, and alternatives to traditional banking. Young Moroccans in urban areas are early adopters, using cryptocurrencies for cross-border payments and wealth storage.

Morocco’s adoption trends align with those in the Middle East and North Africa (MENA) region, where regulatory clarity in countries like the UAE sets a precedent. The forthcoming legislation could position Morocco as a key crypto hub in North Africa.

Taxation Policies

Due to the illegality of cryptocurrencies, Morocco currently lacks specific taxation laws for digital assets. However, the upcoming legislation is expected to introduce taxation frameworks, potentially treating crypto as property subject to a 20% capital gains tax for individuals. Businesses accepting crypto payments may face value-added tax (VAT) obligations.

The absence of clear guidelines has led to underreporting of crypto earnings. Regulatory changes may enforce compliance, requiring declarations to the General Tax Directorate. Tax incentives for blockchain startups could also emerge to support Morocco’s economic diversification goals.

Additional Information

The following list provides useful information for navigating Morocco’s cryptocurrency landscape:

• Central Bank Contact: Bank Al-Maghrib, [email protected], for inquiries on crypto regulations.
• Global Platforms: Binance and Coinbase offer Arabic-language support, easing access for Moroccans.
• Blockchain Events: Morocco Digital Summit in Casablanca hosts annual blockchain workshops.
• Tax Authority: General Tax Directorate provides updates on emerging tax policies.

Table of Useful Information

Category	Details
Regulatory Body	Bank Al-Maghrib (BAM) and Moroccan Capital Market Authority (AMMC)
Legal Status (2025)	Pending legalization via draft law, expected implementation in 2025
Popular P2P Platforms	LocalBitcoins, Paxful, accessible via VPN
Tech Hubs	Marrakech and Casablanca, emerging centers for blockchain innovation

Conclusion

The transition from a cryptocurrency ban to a regulated framework marks a pivotal moment for Morocco’s digital economy. The anticipated legislation is poised to legitimize crypto transactions, foster blockchain-based financial applications like DeFi and NFTs, and align Morocco with global financial trends. While challenges such as regulatory enforcement and public awareness persist, growing adoption and government support signal a promising future. By balancing regulation with innovation, Morocco has the potential to emerge as a leader in Africa’s cryptocurrency landscape.