Is Ether Legal in Your Country?
Before you buy, sell, or spend Ether (ETH), the first thing you should do is check whether it’s legal in your country.
Countries Where Ether is Banned
While Ether and other cryptocurrencies are welcomed in many parts of the world, several countries have banned their trade or use due to their decentralized nature, perceived threat to current monetary systems, volatility, or their presumed use in illegal activities.
As of 2019, the following countries have banned Ethereum or its payments alongside other cryptocurrencies:
- Afghanistan
- Pakistan
- Algeria
- Bolivia
- Bangladesh
- North Macedonia
- Saudi Arabia
- Vanuatu
- Vietnam
In addition to these countries, there are others where Ethereum is restricted and cannot be used for payments. In these states, banks and other financial service providers are not allowed to deal with cryptocurrency exchanges. In more extreme cases, like China, the country has completely banned cryptocurrency exchanges.
- China
- India
- Ecuador
- Indonesia
- Morocco
- Zambia
- Nepal
- Egypt
- American Samoa
- Qatar
Despite these bans and restrictions, strict laws have not eliminated Bitcoins, Ether, or other cryptocurrencies, their transactions, or their usage, as it’s almost impossible to ban them completely. Users can still utilize platforms like LocalBitcoin to trade cryptocurrencies using cash or other methods. No government can truly ban decentralized cryptocurrencies unless they ban the use of the internet itself.
Countries Where Ether is Legal
On a positive note, there are at least 111 states where Ethereum and other cryptocurrencies are legally recognized and have a certain legal status.
For example, the United States and Canada generally have a favorable attitude towards crypto while trying to enforce anti-money laundering policies. According to European Union laws, member states cannot launch their own currency, but crypto exchanges can be legalized based on each country’s regulations.
The most crypto-friendly countries that recognize the legitimacy of Ethereum include:
- Japan
- Gibraltar
- Malta
- Ukraine
- Switzerland
- Netherlands
- Lithuania
- Estonia
- United Kingdom
- Germany
- Bermuda
- Slovenia
- Singapore
- Georgia
- Belarus
- Hong Kong
Countries Where Ether is Neither Legal nor Illegal
To complicate matters, there are countries where Ether is legal in the sense that you can own it, but there are no clear guidelines regarding its status. These countries are either considering a specific legal framework or have adopted a wait-and-see approach. These countries include:
- Albania
- Andorra
- Argentina
- Barbados
- Colombia
- French Guiana
- Gabon
- Jamaica
- Jordan
- Kazakhstan
- Kenya
- Kosovo
- Kyrgyzstan
- Malaysia
- Maldives
- Mauritius
- Nigeria
- Panama
- Paraguay
- Peru
- Tunisia
- United Arab Emirates
- Tanzania
- Uruguay
Conclusion
The fears of a widespread crackdown on cryptocurrency have had a long-lasting impact on the nascent crypto industry. Despite this, an increasing number of countries and governments are choosing to embrace digital innovation, playing a significant role in the future of the sector. At the same time, countries that resist change risk significant economic disadvantages. These nations are already among the poorest in the world, and cryptocurrency trading offers an excellent opportunity to bring innovation, capital, more tax revenue, and a better standard of living to the entire population.
