Morocco is preparing to take its most decisive step yet into the world of digital finance. The Ministry of Economy and Finance has introduced Bill 42.25, a draft law that seeks to define how the country will regulate digital assets and decentralized finance (DeFi) — and, in doing so, reshape how innovation and financial control coexist.
For years, Morocco has maintained one of Africa’s toughest stances on cryptocurrency, prohibiting all related transactions under its foreign exchange laws. Yet, public enthusiasm for digital currencies has continued to grow quietly behind the scenes. Bill 42.25 doesn’t lift that ban — but it does mark the beginning of a shift from prohibition to structured regulation, an attempt to manage what can no longer be ignored.
A Framework Built on Four Principles
- The Ministry’s presentation outlines four guiding objectives:
- Protect investors and consumers from financial harm;
- Strengthen market integrity and reduce risks of fraud and money laundering.
- Encourage innovation across the digital and financial landscape.
Preserve overall financial stability.
Developed with Bank Al-Maghrib (BAM) and the Moroccan Capital Market Authority (AMMC), the proposal echoes global standards set by the IMF, BIS, and FATF. It reflects a growing consensus: that digital finance must evolve under clear rules rather than in regulatory limbo.
Turning the Informal into the Institutional
At its core, the bill brings digital assets out of the shadows and into a formal, supervised framework. It defines crypto-assets as digital representations of value or rights transferable through blockchain or distributed ledger technology (DLT) — a definition broad enough to capture most of today’s crypto use cases but specific enough to regulate them.
The law distinguishes two main categories:
- Utility tokens, which grant access to services or products; and
- Asset-referenced tokens (stablecoins), tied to fiat currencies or baskets of assets.
Excluded are NFTs, CBDCs, and mining activities, signaling a focus on tradable financial products rather than creative or technical use cases. Notably, the bill stops short of legalizing crypto as a means of payment, treating it instead as a regulated financial instrument to be managed by licensed service providers under Morocco’s monetary authority.
Shared Oversight, Shared Responsibility
The proposed system divides regulatory duties between the country’s financial heavyweights:
- AMMC will handle licensing, token issuance, and trading platforms, enforcing rules against insider trading, manipulation, and market misconduct.
- Bank Al-Maghrib will focus on stablecoin oversight, ensuring these tokens are backed by liquid and transparent reserves.
- ANRF, Morocco’s National Financial Intelligence Authority, will enforce anti-money laundering (AML) and counter-terrorism financing (CFT) rules — requiring service providers to identify clients, maintain transaction records for a decade, and flag suspicious activity.
A new national coordination platform, bringing together BAM, AMMC, ACAPS, the Treasury, and the Data Protection Authority (CNDP), will ensure policy consistency as the framework evolves.
Licensing, Transparency, and Trust
Bill 42.25 doesn’t just regulate; it raises the bar. To operate, firms must obtain licenses based on capital strength, governance, and internal control standards. Transparency is non-negotiable: every licensed provider will need to disclose fees, product risks, and detailed token information through a public white paper.
This approach aims to replace speculation and misinformation with informed participation — creating a market where credibility, not hype, drives engagement.
Sanctions and Safeguards
To deter misconduct, the bill introduces a three-tier penalty system — disciplinary, financial, and criminal. Offenses such as insider trading, manipulation, and false disclosure can lead to fines, imprisonment, or loss of license.
The tone is firm but pragmatic: Morocco wants to encourage innovation, not chaos. The model reflects the spirit of Europe’s MiCA regulation, emphasizing accountability and gradual integration rather than unrestrained liberalization.
A Careful Embrace of the Digital Future
With Bill 42.25, Morocco positions itself as one of Africa’s most forward-thinking regulators in the digital asset space. The draft law doesn’t romanticize crypto — it regulates it, responsibly.
By introducing structure to a market long driven by speculation, Morocco signals that innovation and prudence can coexist. The message is clear: digital finance has a future in Morocco — but only one built on transparency, trust, and supervision.
