Eritrea has no published crypto law, licensing regime or explicit ban, and the Bank of Eritrea has issued no public statement on crypto-assets. Eritrea has no published FATF or FSRB mutual evaluation that would record its treatment of virtual assets. The economy operates under strict state controls on capital flows, currency exchange and bank withdrawals.
| Status | unknown |
| Risk Score | 70/100 (High Risk) |
| Region | africa east |
| Currency | ERN |
| Capital Gains (Personal) | No crypto-specific rules and no separate capital gains tax; Income Tax Proclamation No. 62/1994 taxes individuals by schedule, with trade and business income at progressive rates of 2% to 30% |
| Capital Gains (Corporate) | No crypto-specific rules; 30% income tax on incorporated bodies |
| VAT on Crypto | No |
| Staking Tax | N/A |
| Airdrop Tax | N/A |
No crypto-specific tax guidance. Income Tax Proclamation No. 62/1994 taxes income by schedule (employment, rent, trade or business, commercial farming) and has no separate capital gains schedule; individuals' business income is taxed at 2% to 30% and incorporated bodies at 30%.
| Required | No |
| Regulator | Bank of Eritrea |
| Framework | No crypto framework |
No crypto licensing framework or published crypto rule exists; strict capital and currency controls apply.
Strict financial controls enforced.
| KYC Required | Yes |
| Travel Rule | No |
| FATF Member | No |
| FATF Status | non_compliant |
| FATF Body | ESAAMLG |
| Suspicious-Activity Reporting | No |
Status: Banned
Not permitted.
Status: Banned
Not permitted.
Status: Banned
Not permitted.
| Legal | No |
| Electricity Cost | $0.08/kWh |
| Renewable Energy | 35% |
| Infrastructure | poor |
Cryptocurrency mining is banned in Eritrea. Infrastructure is underdeveloped with limited data center capacity and poor internet connectivity.
| Stability | unstable |
| Sanctions | Yes |
| Corruption Index | 16/100 |
| Banking Access | very_restricted |
| Sanctions Program Active | No |
Risk Factors
Eritrea faces significant geopolitical risks including international sanctions, ongoing conflict, and severe restrictions on internet freedom and banking access, making it a very challenging environment for crypto businesses.
Eritrea has no published crypto law, licensing regime or explicit ban, and the Bank of Eritrea has issued no public statement on crypto-assets. Eritrea has no published FATF or FSRB mutual evaluation that would record its treatment of virtual assets. The economy operates under strict state controls on capital flows, currency exchange and bank withdrawals.
Eritrea is classified by FATF as: non_compliant.
KYC is mandatory for crypto businesses.
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Explore IT Services →Last reviewed: 2026-09-12 · Data source: Soken Crypto Legal Map
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