Bitcoin Illegal in Saudi Arabia

Saudi Arabia has banned virtual currency, including Bitcoin and all other cryptocurrencies. The reason Saudi Arabia gives for banning Bitcoin is that it believes it is high risk since the government doesn’t control Bitcoin.

Further, it says Bitcoin involves deceitful get rich quick schemes and warns people to be careful of sending money to anonymous people in the cryptocurrency world. It is perhaps no surprise that Saudi Arabia has banned Bitcoin, since the kingdom is one of the last absolute monarchies still in existence. Bitcoin hadn’t been particularly active on an institutional level in Saudi Arabia before this decision to ban it.

There appears to be just one Bitcoin exchange in Saudi Arabia, BitOasis, but it hasn’t been able to serve customers since May 2018 due to banking issues. This may not be the end of cryptocurrency in Saudi Arabia, however, as Saudi Arabian Monitary Authority (SAMA) is working with the United Arab Emirates to produce a cryptocurrency that can be used for cross-border payments.