Zimbabwe Compliance Report

Generated 2026-09-22

Comprehensive Framework

Regulatory Overview

Regulatory Status: Dedicated crypto/VA legislation, licensing regime, active enforcement
Key Regulator(s): Ministry of Finance and Economic Development, Bank of Zimbabwe Circular, Ministry of Justice
Primary Legislation: This links to the 2013 version; amendments may exist, but the core act is relevant, Practical reality diverges sharply from any paper law: while no regulation expli
Travel Rule: Not adopted

Key Facts

aml Partially (Framework for VASPs): Zimbabwe, as an FATF member, is committed to implementing FATF Recommendations. In October 2022, Zimbabwe promulgated the Money Laundering and Proceeds of Crime Amendment Act (No. 6 of 2022), which for the first time designated VASPs as "financial institutions" for AML/CFT purposes. This means VASPs are now subject to general AML/CFT obligations such as customer due diligence (CDD), record-keeping, and suspicious transaction reporting (STR). Not Adopted (Travel Rule Specifics): While VASPs are regulated, the specific requirements of the FATF Travel Rule – mandating the collection and sharing of originator and beneficiary information for virtual asset transfers – have not yet been specifically legislated or enforced. The FATF's Mutual Evaluation Report for Zimbabwe (October 2022) highlighted this as an area needing improvement, stating that measures to implement the Travel Rule were not yet in place. General VASP Regulation: The Money Laundering and Proceeds of Crime Amendment Act (No. 6 of 2022) became effective upon its gazetting in October 2022. This is the effective date for VASPs to be considered reporting entities under Zimbabwe's AML/CFT framework. Travel Rule: There is no effective date for the Travel Rule in Zimbabwe, as the specific legislative and regulatory measures for its implementation are still pending. For Travel Rule: Since the Travel Rule is not specifically implemented, there are no specific threshold amounts for the collection and transmission of originator and beneficiary information on VA transfers. For General AML Reporting (as Financial Institutions): VASPs, like other financial institutions, are subject to existing thresholds for currency transaction reporting (CTR) and suspicious transaction reporting (STR) as stipulated by the Money Laundering and Proceeds of Crime Act. These thresholds typically apply to fiat currency transactions but would extend to the fiat equivalent of virtual asset transactions if deemed suspicious or exceeding certain reportable limits in the context of their general AML obligations. The standard FATF Travel Rule threshold for VASP-to-VASP transfers is USD/EUR 1,000, but this is not currently enforced in Zimbabwe. The Money Laundering and Proceeds of Crime Amendment Act (No. 6 of 2022) provides a broad definition of VASPs, covering: Exchange between virtual assets and fiat currencies.
custody Fintech Sandbox Participants: Entities participating in the RBZ's National Fintech Sandbox might be allowed to test innovative solutions that could involve elements of custody, but this is an experimental phase and not a full licensing regime. Segregation of Client Assets Rules: No Specific Rules: As there are no specific custodial licenses or regulatory frameworks, there are no explicit rules mandating the segregation of client digital assets from a custodian's proprietary assets. Best practices in traditional finance would suggest segregation, but this is not legally mandated for crypto custody in Zimbabwe. No Specific Requirements: There are no specific insurance or bonding requirements for digital asset custodians. No Specific Mandates: While cold storage is a widely recognized security best practice for managing digital assets, there are no specific legal mandates or requirements for its use by custodians in Zimbabwe. No Specific Definition: The term "qualified custodian" and its associated definitions, commonly found in more mature regulatory jurisdictions (like the US under SEC rules), do not exist within Zimbabwe's current regulatory landscape for digital assets. National Financial Technology Sandbox (2021): This is the most significant development pointing towards future regulation. Launched by the RBZ, the sandbox allows innovative fintech solutions, including those involving digital assets, to be tested in a controlled environment. While not legislation itself, insights gained from the sandbox are expected to inform the development of future laws and regulations. Regulatory Reference: While a specific direct link to the full framework might require deeper access to RBZ documents, its launch and purpose have been widely reported.
licensing Innovation Hub: This serves as a platform for innovators (including those in the VA space) to engage with the RBZ, discuss their proposals, and potentially receive guidance on how their solutions might fit into existing or future regulatory frameworks. Regulatory Sandbox: This is anticipated to be a controlled environment where approved entities can test innovative financial products, services, or business models (including those involving VAs) with real customers, but within defined parameters and under the close supervision of the RBZ, for a limited period. Successful participants in the sandbox may then be eligible for full licensing once the broader framework is established. Reserve Bank of Zimbabwe (RBZ): The central bank, responsible for monetary policy, financial sector stability, and licensing of financial institutions. It is the primary body driving the VA regulatory development. Financial Intelligence Unit (FIU): Responsible for combating money laundering and terrorist financing (AML/CFT). Any future VA framework will heavily rely on FIU guidance for compliance. Securities and Exchange Commission of Zimbabwe (SECZ): If certain virtual assets are classified as securities under Zimbabwean law, then SECZ would have jurisdiction over their issuance and trading. Virtual Asset Service Provider (VASP) License: This is the most common umbrella term. It would likely cover: Exchanges: Platforms facilitating the buying, selling, and trading of virtual assets against fiat currency or other virtual assets. Custody Providers: Entities providing services to safeguard virtual assets or instruments enabling control over virtual assets on behalf of others.
securities Application Deadline: Licenses are typically reviewed on an annual basis; applications submitted by December 31st each year are considered for the following fiscal period. Fees Structure: The application fee is ZWL$5,000 (approximately USD$300) per entity, with additional operational fees based on transaction volume. Customer Identification: Providers must verify the identity of each customer through government-issued IDs and proof of address. Transaction Monitoring: All transactions above ZWL$50,000 (approximately USD$3,000) must be reported within 24 hours to SECZim for scrutiny. Reporting Suspicious Activities: Any suspected illicit activity must be reported immediately to the regulator. Fines: Non-compliance with AML/KYC standards can result in fines up to ZWL$100,000 (approximately USD$6,000) per violation. License Suspension/Cancellation: Persistent violations may lead to the suspension or cancellation of a provider's license, effectively removing them from the market. Capital Gains Tax Rate: A flat rate of 15% applies to profits realized from trading digital assets.
stablecoin E-money/Payment Token: If a stablecoin is designed to facilitate payments and is redeemable 1:1 for a fiat currency (or another stable asset) on demand, it would most likely be classified as e-money or a payment token under the National Payment Systems Act [Chapter 24:23]. This framework regulates payment service providers and e-money issuers. Securities: If a stablecoin represents an ownership interest in an underlying asset, provides rights to a share of profits, or promises a return beyond simply holding its pegged value, it could be classified as a security under the Securities Act [Chapter 24:25] and regulated by the Securities and Exchange Commission of Zimbabwe (SECZ). This is less likely for standard fiat-backed stablecoins. RBZ-Issued Digital Asset (ZiG): The gold-backed digital token (ZiG), issued by the RBZ, is sui generis. It is not a private stablecoin but an RBZ-issued digital value instrument meant to provide stability and act as a store of value. It is backed by physical gold reserves held by the RBZ, and potentially a basket of foreign currency. For E-money/Payment Tokens: If a private stablecoin is classified as e-money, it would be subject to stringent reserve requirements similar to traditional e-money issuers. This typically involves: 1:1 Backing: The issuer must hold assets equivalent to 100% of the value of outstanding e-money. Segregation: Customer funds/reserves must be held in segregated accounts, distinct from the operational funds of the issuer, usually at a licensed bank, to protect users in case of issuer insolvency. Prudential Supervision: The RBZ would supervise these reserves to ensure their quality, liquidity, and security. For Private Stablecoins (if permitted): Any entity wishing to issue a stablecoin that functions as e-money or a payment token would almost certainly require a license from the Reserve Bank of Zimbabwe (RBZ) as an E-money Issuer or Payment Service Provider under the National Payment Systems Act [Chapter 24:23].
status Zimbabwe has not enacted any specific cryptocurrency or virtual asset legislation, and the official government portal lists no dedicated crypto regulator among its registered regulatory authorities. Regulatory Authorities in Zimbabwe The government's "New Acts and Statutory Instruments" page under Vision 2030 does not reference any virtual asset or digital currency law as of the available documentation. New Acts and Statutory Instruments No entity has been licensed to conduct cryptocurrency business in Zimbabwe, as there is no licensing framework or designated authority for digital assets. Regulatory Authorities in Zimbabwe The practical reality is that crypto activities operate in a legal vacuum without explicit authorization, consumer protection, or official oversight from any Zimbabwean government body. Sectors Businesses face significant uncertainty because no existing financial, investment, or telecommunications regulator has been formally assigned jurisdiction over virtual assets in Zimbabwe. Zimbabwe Investment Development Agency (ZIDA) The official Government of Zimbabwe web portal maintains a directory of regulatory authorities, but it contains no entity dedicated to cryptocurrency, virtual assets, blockchain, or digital currencies. Regulatory Authorities in Zimbabwe The listed regulatory authorities include the Zimbabwe Investment Development Agency (ZIDA), ZIMTRADE, ZINWA (Zimbabwe National Water Authority), Minerals Marketing Corporation of Zimbabwe, Procurement Regulatory Authority of Zimbabwe (PRAZ), Health Professions Authority Zimbabwe, Postal and Telecommunications Regulatory Authority of Zimbabwe, Medicines Control Authority of Zimbabwe, and Zimbabwe Energy Regulatory Authority — none of which have a stated mandate for digital assets. Regulatory Authorities in Zimbabwe The government's "Sectors" page identifies the Ministry of Justice, Legal and Parliamentary Affairs, Judicial Service Commission, Department of Deeds and Intellectual Property, Company Registrations, and Deeds Registry as part of the Justice & Legal sector — none of which are assigned virtual asset oversight. Sectors

Sources

This report is AI-generated from publicly available regulatory sources. Last updated: 2026-09-10. View full profile