---
type: country
domain: crypto-regulation
status: stable
tags: ["crypto-regulation", "south_asia", "apg", "banned"]
aliases: ["NP", "NPL", "नेपाल"]
created: 2026-09-20
updated: 2026-04-02
compile_into: ["[[country--nepal]]"]
sources:
  - name: "https://www.nrb.org.np"
    url: "https://www.nrb.org.np"
    type: "official"
  - name: "FIU-Nepal (Nepal Rastra Bank), Strategic Analysis Report 2022"
    url: "https://www.nrb.org.np/fiu/strategic-analysis-report-of-fiu-nepal-2022"
    type: "official"
  - name: "Nepal Rastra Bank, cryptocurrency FAQ"
    url: "https://www.nrb.org.np/category/faqs/faq_fxm/faq_fxm-cryptocurrency"
    type: "official"
---

#  Nepal (NP): Crypto Regulation

> Nepal bans cryptocurrency. Nepal Rastra Bank declared Bitcoin transactions illegal on 13 August 2017 and, by notices of 9 September 2021 and 23 January 2022, declared all businesses and transactions involving virtual currency and cryptocurrency illegal. Nepal Police (CIB) confirmed the prohibition in February 2022. There is no licensing regime.

## Overview

| Field | Value |
|-------|-------|
| Status | Banned |
| Risk Score | 82/100 (Very High Risk) |
| Enforcement Level | Moderate |
| Region | [[domain--asia-pacific|south asia]] |
| Currency | [[entity--npr|NPR]] |

## Tax

| Type | Rate |
|------|------|
| Capital Gains (Personal) | N/A - crypto banned |
| Capital Gains (Corporate) | N/A |
| VAT on Crypto | No |
| Mining Tax | N/A - mining banned |
| Staking Tax | N/A |
| Airdrop Tax | N/A |

No crypto tax rules exist, as all virtual currency and cryptocurrency transactions are illegal in Nepal.

## Licensing

| Field | Value |
|-------|-------|
| Required | No |
| Regulator | [[entity--nrb|NRB]] |
| Framework | Nepal Rastra Bank notices of 13 August 2017, 9 September 2021 and 23 January 2022 declaring virtual currency and cryptocurrency transactions illegal |
| Ease | very_complex |
| Cost | N/A |
| Timeline | N/A months |

## AML / KYC

| Field | Value |
|-------|-------|
| KYC Required | Yes |
| Travel Rule | No |
| FATF Member | No |
| FATF Status | grey_list |

## DeFi

**Status:** Banned

## Stablecoins

**Status:** Banned

## NFTs

**Status:** Banned

## Mining

| Field | Value |
|-------|-------|
| Legal | No |
| Electricity Cost | $0.06/kWh |
| Renewable Energy | 90% |
| Climate | temperate |
| Infrastructure | fair |

Mining is banned in Nepal. Electricity cost is low and renewable energy share is high, but mining is prohibited by law.

## Geopolitics

| Field | Value |
|-------|-------|
| Stability | moderate |
| Sanctions | No |
| Corruption Index | 34/100 |
| Ease of Business | difficult |
| Internet Freedom | partly_free |
| Banking Access | restricted |
| Sanctions Programs Active | No |

## Enforcement

No detailed enforcement information available

## CBDC

| Field | Value |
|-------|-------|
| Status | research |
| Name | Nepal CBDC |
| Authority | The Nepal Rastra Bank |
| Type | retail |

## FAQ

### Is cryptocurrency legal in Nepal?

Nepal bans cryptocurrency. Nepal Rastra Bank declared Bitcoin transactions illegal on 13 August 2017 and, by notices of 9 September 2021 and 23 January 2022, declared all businesses and transactions involving virtual currency and cryptocurrency illegal. Nepal Police (CIB) confirmed the prohibition in February 2022. There is no licensing regime.

### What is the FATF status of Nepal?

Nepal is classified by FATF as: grey_list.

### What is the AML/KYC regime in Nepal?

KYC is mandatory for crypto businesses.

---

*Data source: [Soken Crypto Legal Map](https://soken.dev/crypto-map/). Last reviewed: 2026-09-20.*

**Sources:**
- [https://www.nrb.org.np](https://www.nrb.org.np)
- [FIU-Nepal (Nepal Rastra Bank), Strategic Analysis Report 2022](https://www.nrb.org.np/fiu/strategic-analysis-report-of-fiu-nepal-2022)
- [Nepal Rastra Bank, cryptocurrency FAQ](https://www.nrb.org.np/category/faqs/faq_fxm/faq_fxm-cryptocurrency)