Fiji’s National Anti-Money Laundering Council (NAMLC) has reaffirmed its prohibition on virtual asset service providers (VASPs), warning that cryptocurrencies pose serious risks to financial integrity and national security.
The Council, in a statement posted on its website, said the decision reflects concerns that virtual assets are particularly vulnerable to money laundering, terrorist financing, and proliferation financing.
It stressed that the anonymity and borderless nature of digital assets make them attractive for criminal exploitation.
“Cryptocurrencies enable rapid, anonymous transactions across borders, making them attractive for laundering illicit funds and evading detection,” the Council said.
It added that extremist groups have increasingly turned to digital tokens to fund operations, while proliferation financing, such as support for weapons of mass destruction, remains a grave threat.
Fiji’s ban aligns with international standards set by the Financial Action Task Force (FATF), though the country has opted for prohibition rather than regulation.
The Council said Fiji currently lacks the supervisory and enforcement capacity needed to safely oversee the sector, warning that premature regulation could leave the financial system exposed to abuse.
The NAMLC is chaired by Permanent Secretary for Justice Selina Kuruleca, and includes top officials from the Reserve Bank of Fiji, the Office of the Director of Public Prosecutions, the Fiji Police, the Fiji Revenue and Customs Services, and the Financial Intelligence Unit.
Kuruleca said the Council’s priority is protecting Fiji’s financial system while maintaining a transparent environment that supports legitimate investment and economic growth.
“The Council’s priority remains the protection of Fiji’s financial system, and the safety of its people,” she said.
While acknowledging that some jurisdictions are moving toward regulation, the Council said Fiji’s position will be reviewed as regulatory and technological frameworks improve.
Until then, the prohibition of VASPs will remain in place as a safeguard against financial crime and security threats.