Bank of Tanzania to regulate crypto over terror‑finance risk

Governor Emmanuel Tutuba announced at the 50th Dar es Salaam International Trade Fair that the Bank of Tanzania is finalizing laws and regulations to oversee cryptocurrencies and stablecoins as public interest in digital finance grows.

The planned framework will cover tokens such as bitcoin and stablecoins and set rules for how firms and trading platforms in the sector are supervised. Regulators aim to clarify which activities fall under central bank oversight and what standards operators must meet.

Tutuba highlighted consumer complaints about losses in crypto transactions and expressed particular concern about young people entering the market. “Many young people are investing in this area, but we have also received complaints from people who have lost money. We are therefore looking at how to put in place an enabling environment that will protect Tanzanians from further harm,” he said.

He also linked the regulations to broader safety risks, saying some virtual asset activity can be used for money laundering and terrorist financing and that the rules will require participants to follow issued guidelines.

Bank officials say the new rules will help detect and reduce threats to the financial system, including illicit finance and other security risks that could affect stability. The central bank has increased supervision of digital financial services in recent years as electronic payments and fintech activity have expanded.

During his visit to the central bank pavilion at the trade fair, Tutuba reviewed displays on digital financial services and visited the Ministry of Finance pavilion. He praised public exhibitions and interactive displays for improving financial literacy and raising awareness of new financial products.

The Bank of Tanzania did not give a timeline for publishing the draft regulations or for when they would take effect. Tutuba framed the work as addressing consumer protection and aligning Tanzania’s approach with international efforts to regulate virtual assets while allowing space for financial innovation.