When the Bangladesh Bank crypto warning, a formal regulatory alert issued by the central bank of Bangladesh against cryptocurrency use. Also known as Bangladesh’s crypto ban, it doesn’t just discourage crypto—it makes most transactions illegal under national banking law. This isn’t a suggestion. It’s a legal barrier. In 2021, Bangladesh Bank declared that using, trading, or holding cryptocurrencies violates the country’s Foreign Exchange Regulation Act. That means even buying Bitcoin through a peer-to-peer app could land you in legal trouble.
The warning isn’t just about risk—it’s about control. Unlike countries that tax crypto or require licenses, Bangladesh outright bans it. Banks are ordered to block accounts linked to crypto platforms. Exchanges like Binance, Bybit, or local P2P brokers are blocked from operating. Even sending crypto to a friend’s wallet can trigger a financial investigation. The Bangladesh Bank, the central banking authority responsible for monetary policy and financial stability in Bangladesh. doesn’t distinguish between investors and casual users. If you’re holding crypto, you’re potentially breaking the law.
What’s worse? The ban doesn’t come with clear alternatives. While India lets you trade on licensed platforms and Vietnam creates regulatory sandboxes, Bangladesh offers no legal path. No licensed exchanges. No tax framework. No guidance. Just silence and enforcement. People still trade—using WhatsApp groups, ghost wallets, or offshore apps—but they do it in the dark. There’s no consumer protection. No recourse if you get scammed. No way to report fraud. And if the authorities find out, you could face fines, account freezes, or even criminal charges under money laundering laws.
The crypto exchange restrictions, legal barriers imposed by governments that prevent platforms from operating within their borders. here are absolute. No local exchange can register. No foreign exchange can legally serve Bangladeshi users. Even using a VPN to access Binance or KuCoin doesn’t make it safe—it just hides your activity from your bank, not from law enforcement. The cryptocurrency legality Bangladesh, the legal status of digital assets under Bangladeshi national law, which currently prohibits all forms of use. is clear: it’s not gray. It’s black.
Yet, people still trade. Why? Because remittances are collapsing, inflation is rising, and the taka keeps losing value. Crypto isn’t a hobby here—it’s a survival tool. But survival comes with risk. The Bangladesh Bank crypto warning didn’t stop demand. It just pushed it underground. And that’s where scams, fake exchanges, and stolen funds thrive. You won’t find a single official guide on how to do it safely. No warnings about phishing. No advice on cold storage. Just silence.
Below, you’ll find real cases, user stories, and deep dives into how this ban affects everyday people—whether they’re students sending money home, small business owners avoiding bank fees, or traders caught in the crossfire of outdated laws. These aren’t theoretical risks. These are lives on the line.
The 12-year prison sentence for crypto trading in Bangladesh is widely reported but misleading. No one has been jailed for that long. Learn what laws actually apply, who gets targeted, and how people still trade crypto despite the risks.
