When the Bangladesh crypto ban, a nationwide prohibition on cryptocurrency trading and use by financial institutions. Also known as crypto transaction restrictions in Bangladesh, it was enforced by the central bank in 2021 to prevent money laundering and protect the national currency, the BDT. The rule didn’t make owning crypto illegal—but using banks or payment systems to buy, sell, or transfer Bitcoin, Ethereum, or any coin became a criminal offense. Banks were ordered to freeze accounts linked to crypto exchanges, and users faced fines or jail time for violations. This wasn’t just a warning—it was a full shutdown of the financial pipeline.
But here’s the twist: the ban never fully worked. While official banks cut off access, people kept trading. Peer-to-peer platforms like LocalBitcoins and Paxful became lifelines. Traders used mobile wallets, cash deposits, and informal networks to move value. Even today, you’ll find crypto traders in Dhaka, Chittagong, and Sylhet swapping Bitcoin for taka in person or through encrypted apps. The Bangladesh Bank, the country’s central banking authority responsible for monetary policy and financial regulation. still issues stern warnings, but enforcement is patchy. Meanwhile, the Bangladeshi diaspora, overseas workers sending money home who increasingly rely on crypto to avoid high remittance fees. turned to crypto as a cheaper alternative to Western Union and MoneyGram. That’s why, despite the ban, crypto usage didn’t disappear—it just went underground.
What’s next? No one knows for sure. The government hasn’t legalized crypto, but it hasn’t shut down the underground market either. Some experts believe a regulated framework is coming—maybe in 2025 or 2026—especially as neighboring countries like Thailand and India tighten rules while still allowing licensed exchanges. For now, users in Bangladesh are stuck in a gray zone: technically breaking the law, but practically doing what works. Below, you’ll find real stories and deep dives into how people navigate this system, which exchanges still operate quietly, and why some tokens survive even when banks won’t touch them.
The claim that crypto trading in Bangladesh carries a 12-year prison sentence is widely repeated but legally inaccurate. Learn the real laws, enforcement patterns, and risks behind Bangladesh's crypto ban.
