The National Bank of Rwanda’s Stance on Cryptocurrency
The National Bank of Rwanda (NBR) has issued a strong reminder regarding its prohibition on cryptocurrency activities linked to the Rwandan franc. This announcement came in direct response to the recent move by the cryptocurrency exchange Bybit, which began allowing transactions in the franc on its peer-to-peer (P2P) platform.
In a message shared on X, the NBR emphasized that engaging in payment transactions, exchanges, or trading involving cryptocurrencies is not allowable under current law, advising citizens to avoid such practices due to significant financial risks and the absence of protection in the event of losses.
Bybit’s Initiative and Regulatory Response
Bybit’s initiative to facilitate the buying and selling of digital currencies with the Rwandan franc was unveiled last Friday, quickly raising red flags among the nation’s regulatory authorities. The NBR firmly reiterated that the franc stands as the sole valid currency in Rwanda. Moreover, licensed financial entities are prohibited from handling transactions that convert FRW into cryptocurrencies.
Up to the time of this report, Bybit had not released an official response regarding the regulatory intervention.
Rwanda’s Regulatory Landscape
Rwanda’s regulatory stance on cryptocurrencies has been notably strict since 2018, with the government prioritizing the protection of its financial infrastructure while fostering the Rwandan franc. Simultaneously, the nation is in the process of developing a centralized digital currency, the e-franc rwandais, which is currently undergoing proof-of-concept trials as it prepares for further testing.
Future Developments in Cryptocurrency Regulation
On a related note, the Capital Market Authority of Rwanda is working on a new regulatory framework intended to support “responsible innovation” in the cryptocurrency sector, which includes clear restrictions on the use of crypto as legal tender, limitations on mining operations, and regulations governing tokens associated with the franc.
Market Analysis
Data analytics firm Chainalysis highlights that Rwanda ranks comparatively low in cryptocurrency transactions for the years 2024 and 2025, significantly lagging behind regional leaders like Nigeria and South Africa. Despite these regulatory hurdles, Bybit is still broadening its global offerings and has recently adopted strategies to attract clients amid fluctuating market conditions, including a heightened emphasis on stablecoin yield products and fixed-income investments.
In fact, Bybit is set to introduce opportunities worth up to $10 million backed by stablecoins.
