Salifyanji J Namwila is the CEO of Devdraft (YC F24) | Dartmouth ’24 | xAmazon. She speaks with Techpression on how Algeria’s crypto ban silences economic freedom
There’s something powerful about financial freedom, the ability to transact, build, and connect across borders. For many across Africa, cryptocurrency, particularly stablecoins, has become a key to unlocking that freedom. But in Algeria, that door is being slammed shut and bolted.
While headlines often focus on the legal crackdown and market reactions, the real story is about people, identity, and a nation’s place in the future of the digital economy.
When it was enacted on July 24, Algeria wasn’t just regulating a technology; it was making a profound statement about control, innovation, and its citizens’ ability to participate in a global shift.
This isn’t just a policy change for many young Algerians and forward-thinking businesses. It’s a cultural and economic disconnection. And often, the stories of entrepreneurs and everyday users reveal the deeper layers of what this ban truly means.
In this analysis, Techpression draws from an expert interview with Salifyanji J Namwila, co-founder of the Y Combinator-backed cross-border payment platform Devdraft.
We explore the human angle impact, the practical realities of enforcement, and the silent exodus of talent that this ban could trigger.
To start, for our audience who may only see crypto as an investment, what is the everyday reality it solves for in an African context?
“For me,” says Namwila, “it’s about three freedoms: the freedom to receive, the freedom to hold, and the freedom to spend my money wherever I want to, whenever I want to, at a low cost.”
She paints a picture far removed from speculative trading. “Look at the majority of businesses in Africa—the major money movers are individuals and SMEs… By virtue of the stringent requirements of the banks, they exclude the major GDP growers of each country.”
Cryptocurrency, specifically stablecoins, can become a tool for survival and growth, rather than speculation. It’s about a small business in Algeria being able to order goods from China without losing 8 per cent of their capital to transfer fees or waiting weeks for payment clearance.
Let’s go back to the ban itself. From your perspective, what do you believe motivated the Algerian government to take such an absolute stance?
Namwila likens it to the initial fear surrounding Artificial Intelligence (AI). “There was so much opposition… ‘AI is here, it’s gonna steal our jobs.’… But it turns out the technology is really powerful. We are now at a point where you’re either adopting AI or being left behind. I feel the same about stablecoins.”
She identifies the core motivation as a fear of losing control. “The central bank, obviously, wants control. The best way to control is to… set regulations. But a ban? It’s completely ignoring the situation.” The government’s desire to combat money laundering and oversee capital flow is understandable, but Namwila argues the method is counterproductive.
“The best they can do is partner… to monitor activities. What they can’t do is ignore the fact that crypto is here to stay.”
For the everyday Algerian citizen and business owner, what is the real-world impact of this decision?
“This move is not progressive, and ordinary Algerians will be the biggest losers,” Namwila states plainly. She explains that the ban attacks key use-cases:
Hedging Against Inflation: “People opt for crypto to hedge against inflation and for cross-border transactions.”
Enabling Business: “If you’re a business seated in Algeria, and the currency is not doing well… money movement is expensive.” The ban removes a critical tool for entrepreneurs to compete globally.
Financial Inclusion: “The banks are for the big guys… but the major money movers are individuals and SMEs.” Crypto began to fill this gap, and the ban has now closed it.
The most profound impact? It will isolate Algeria economically. “It means fewer options for cross-border payments, savings, or remittance… It will definitely limit entrepreneurial growth.”
A key question: can such a ban on borderless technology even be effectively enforced?
Namwila is sceptical, drawing parallels to Nigeria’s experience. “I don’t think it’s going to be effective… Where there’s a will, there’s a way.”
She predicts the Nigerian outcome will repeat itself in Algeria: “Crypto adoption won’t disappear — it will simply move underground.” This, she warns, makes the ecosystem more dangerous.
“Without regulation, users are far more likely to fall victim to scams, with no authority to guide them toward legitimate platforms or protect them.”
If an outright ban is not the answer, what alternative measures would you recommend to the Algerian government?
“The best way to control is to, first of all, be able to set the measures and the regulations around it,” Namwila advises. She proposes a pragmatic, phased approach:
- Understand the ‘Why’: “Understand the why behind it. Why crypto? Why now?” The real needs of citizens and businesses must inform policy.
- Establish a Regulatory Sandbox: “Partnering with startups… in a controlled environment.
They monitor activities, you see how they have control.” This is what her company, Devdraft, is doing with central banks in Zambia and Malawi.
- Learn from Neighbours: “Just copying what others are doing. You know, okay, Algeria, why? When you look at bigger economies like Nigeria and South Africa, they’re adopting that openly.”
She further suggests implementing licensing requirements, KYC (Know Your Customer) rules, and clear taxation policies to create a framework for safe operation.
Finally, what is your overarching message about this technological shift and a nation’s choice to resist it?
Namwila’s closing argument is powerful and simple: “This is another industrial age… there’s really no way of running away from it.”
She leaves us with a final thought on progress: “Whether or not the regulators agree to adopt cryptocurrency, it’s going to happen… It’s either you tag along or you remain behind. The world is changing. That’s all I’ll say. It’s already happened.”
For Algeria, the choice is stark: embrace the complex task of understanding and regulating this new age, or choose isolation and watch its most ambitious minds and businesses connect to the future from elsewhere.
Details of the current Algerian crypto ban
Algeria’s rocky relationship with crypto started in 2017, when officials first outlawed virtual currencies under Article 117 of the Finance Law, labelling them risky and unbacked.
Fast-forward to 2018, the ban hardened, but enforcement stayed lax, letting shadowy trades simmer underground.
Algeria’s Law No. 25-10, published in Algeria’s Official Journal No. 48 on July 24, 2025, amends Ordinance No. 03-11 to ban cryptocurrencies, branding them tools for illicit finance and capital flight.
This law obliterates any legal use of digital assets, criminalising possession, trading, issuance, mining, and promotion for all within the nation’s borders.
This amendment to the anti-money laundering framework bans all crypto activities and targets everyone within its borders, including locals, foreigners, individuals, and businesses.
Unlike the softer 2017 and 2018 restrictions, which saw spotty enforcement, this law is a full-throttle crackdown, criminalising every angle of crypto engagement.
Holding Bitcoin, Ethereum, or Solana in a digital wallet is now illegal, as is buying, selling, or trading these assets on platforms like Binance, Bybit, or any other exchange platform.
Creating or issuing new tokens, running mining rigs, especially those tapping subsidised electricity in southern provinces, or operating exchanges and wallets are all outlawed.
Promoting or discussing crypto projects, whether in a tweet or a coffee shop chat, can land you in hot water. Enforcement is no half-measure: the Bank of Algeria, Financial Intelligence Unit, Banking Commission, and law enforcement are joining forces to monitor digital transactions, track cross-border flows, and sniff out VPN usage to block access to international platforms.
Penalties are harsh, with violators facing two months to one year in prison and fines of 200,000 to 1,000,000 Algerian dinars ($1,500 to $7,700 USD), which escalate further for ties to organised crime or terrorism financing.
What this means for North Africa’s blockchain talent
With such a restrictive policy, Algeria risks losing its blockchain and Web3 talent to more crypto-friendly hubs.
According to a recent social media poll by Spectrum Search, one of the world’s most ambitious Web3 companies, global opportunities are shifting: Europe drew 14 per cent of interest, Dubai led with 39 per cent, Istanbul followed with 11 per cent, and remote roles captured 36 per cent.
This means Algerian developers, entrepreneurs, and innovators will likely migrate to countries or remote opportunities that allow them to work freely within the blockchain ecosystem.
Meanwhile, the Middle East and North Africa (MENA) already ranks as the world’s seventh-largest crypto market, attracting $338.7 billion in on-chain value in 2024.
By 2023, it was among the top 20 regions for cryptocurrency adoption, driven by a young population leaning into DeFi and stablecoins amid economic pressures.
In Libya alone, over 1.3 per cent of the population engages in crypto informally, mainly for cross-border payments.
This further means North Africa could soon lose a wave of its top developers, entrepreneurs, and innovators to countries or remote setups that allow them to operate freely within the blockchain ecosystem.
The way forward for Africa
While regions like America, Europe, Asia, and the Arab world set clear regulatory frameworks for cryptocurrency, parts of Africa still swing between extremes, from outright bans to sudden deregulations.
For Africa to compete in the global digital economy, it needs a balanced approach that encourages innovation, protects users, and provides clear rules for engagement.
Total bans may feel like control, but they push innovation and talent elsewhere.