The system of rules created and enforced through social or governmental institutions for how cryptocurrencies, and blockchain technologies more broadly, are created, used, and traded.
March 17, 2022
Cryptocurrency is regulated differently by each country or jurisdiction. In some countries various forms of cryptocurrency are recognized as legal tender; in others, all forms of cryptocurrency transactions are illegal.
Cryptocurrency law involves sets of codified rules and regulations that govern the ways cryptocurrencies and blockchain-based technologies are created, used, and traded. Cryptocurrency law varies by country and locality and is typically regulated by a government jurisdiction. Cryptocurrency is not legal in all countries, nor do all countries have laws recognizing or regulating cryptocurrency. For example, in Egypt, the Main Islamic legislative and judicial Institution Dar al-Ifta issued a religious decree classifying commercial transactions with bitcoins as haram (prohibited by Islamic law). There are many terms used to refer to cryptocurrency, not to be confused with different types of cryptocurrency (Bitcoin, Ethereum). Cryptocurrency is also referred to as a digital or virtual asset, digital or virtual currency, a virtual commodity, and crypto or payment tokens.