Fiji Implements Crypto Prohibition to Combat Illegal Financial Activities, Focusing on Stability Rather Than Innovation

The Reserve Bank of Fiji (RBF) has implemented a sweeping prohibition on

asset service providers (VASPs), which will come into effect on August 30, 2025, following changes made to the RBF Act 1983. This ban specifically covers activities like exchanging, transferring, holding, or promoting cryptocurrencies, stablecoins, NFTs, and other forms of digital tokens. Individuals or businesses providing these services—regardless of whether they are located inside Fiji or elsewhere—now face penalties that include fines reaching $1 million or up to 14 years of incarceration. The RBF made it clear that digital assets are not accepted as legal tender in Fiji, and using them for payments or investments is strictly forbidden under the Exchange Control Act 1950 RBF cracks down on crypto, all virtual asset services now illegal in Fiji [ 1 ].

The National Anti-Money Laundering Council (NMLC) reaffirmed the ban, pointing to threats of money laundering, terrorist funding, and proliferation financing that stem from the anonymous and decentralized characteristics of cryptocurrencies. Council Chair Selina Kuruleca noted that the speed and cross-border nature of virtual asset transactions make them appealing to illicit organizations and extremist networks. The NMLC explained that Fiji’s current law enforcement and technology capabilities are inadequate for safe oversight of this industry, in line with a risk-based approach suggested by the Financial Action Task Force (FATF) Fiji reiterates prohibition on VASPs, cites security and financial integrity concerns [ 4 ].

The ban also includes any advertising or technical assistance related to virtual assets, with the RBF cautioning the public about investment promotions made through social networks or other platforms. The central bank specified that residents cannot use domestic payment methods—like debit or credit cards—to acquire digital assets, and any unauthorized investments made outside Fiji will be penalized. The RBF has not given out any licenses for crypto trading or investment services, underscoring that no organization is permitted to operate in this field Fiji reiterates prohibition on VASPs, cites security and financial integrity concerns [ 4 ].

Opponents claim the measure suppresses financial technology progress and digital access, especially as most Pacific nations choose to regulate rather than completely ban cryptocurrency use. The NMLC recognized that regulated digital assets could have advantages but stressed that introducing oversight without strong infrastructure could leave Fiji exposed to risks. The restriction will stay in place until the country upgrades its oversight and technological systems, according to the NMLC Fiji prohibits crypto services: What is the Back Story? [ 3 ].

Fiji’s policy demonstrates a broader intention to update its conventional financial framework instead of pursuing a Central Bank Digital Currency (CBDC). The RBF is currently focusing on modernizing the National Payment System, aiming to combine innovation with appropriate regulation in order to safeguard the nation’s financial reserves and economic well-being. Although the restriction limits choices for international transactions, officials stress that it ensures the security of the financial system and public welfare.

The ban’s implementation highlights Fiji’s commitment to meeting global anti-money laundering standards. The NMLC—which includes members from the RBF, law enforcement, customs, and financial intelligence agencies—coordinates actions to stop illegal financial activities. This prohibition is part of a broader, multi-agency initiative to address risks from unregulated digital finance, with penalties applied under both the RBF Act and the Exchange Control Act Fiji reiterates prohibition on VASPs, cites security and financial integrity concerns [ 4 ].