Quick Answer
Crypto is accessible in Syria, though its legal status is officially undefined.
- Syria has no specific laws legalizing or banning cryptocurrency use.
- Trading is possible on exchanges like Binance after US sanctions were lifted.
Legal Status of Crypto in Syria
Cryptocurrency in Syria occupies a legal gray area, as there are no specific laws from the Syrian government that either permit or forbid its use. This ambiguity stems from a transitional government focused on post-conflict reconstruction, which has not made digital asset policy a priority. However, the recent lifting of U.S. sanctions has opened the door for international exchanges like Binance to offer services, making crypto accessible to Syrians even without a formal domestic framework. While regulatory bodies like the Central Bank of Syria and the Commission for Combating Money Laundering and Financing of Terrorism exist, they have not established clear rules or oversight for the crypto sector.
Current Regulations
At present, Syria has no formal regulatory framework for cryptocurrencies, as the transitional government has not made creating an official policy on digital assets a near-term priority. Consequently, the landscape is shaped more by external events, such as the lifting of U.S. sanctions that allowed exchanges like Binance to begin serving Syrian residents. In practice, digital currencies are emerging in informal systems to bypass a formal banking sector that remains deeply constrained by international risk aversion and the effects of the civil war.
Regulatory Authorities
While Syria lacks a specific crypto regulatory body, several existing authorities would likely oversee the sector.
- Commission for Combating Money Laundering and Financing of Terrorism (CCMLFT):This commission is Syria's primary body for AML/CFT compliance and would enforce financial crime laws related to crypto transactions. It is responsible for receiving suspicious transaction reports, conducting financial inquiries, and overseeing the implementation of anti-money laundering legislation.
- Central Bank of Syria:The Central Bank registers financial institutions and its governor chairs the CCMLFT, giving it significant influence over the financial sector. It has also engaged in discussions about the potential of blockchain and digital payment systems to help stabilize the economy.
- Transitional Government:Actors within the transitional government have shown interest in using digital payment systems to stabilize areas for returning refugees. Any future legal framework or specific regulations for cryptocurrency would ultimately be developed and approved by this governing body.
Historical Context
Syria’s crypto timeline is defined by external events rather than domestic policy. For years, access was severely restricted by civil war and international sanctions. The pivotal shift came in May 2025 when the U.S. lifted sanctions following the collapse of the Assad regime. This decision enabled Binance to enter the market in June 2025, granting Syrians access to over 300 tokens and allowing trades with the Syrian pound. Despite this breakthrough in accessibility, a formal domestic regulatory framework remains absent, as the transitional government has not prioritized digital asset policy.
Compliance Requirements for Businesses in Syria
While Syria lacks a specific crypto regulatory framework, businesses operating in the financial sector must adhere to the country's existing Anti-Money Laundering (AML) and Counter-Financing of Terrorism (CFT) laws. These regulations are primarily outlined in Legislative Decree No. 33 and overseen by the Commission for Combating Money Laundering and Financing of Terrorism (CCMLFT). Key compliance requirements include:
- AML & KYC Requirements: Financial institutions must implement robust Know Your Customer (KYC) procedures. This includes verifying the identities of clients and beneficial owners using official documents and retaining copies of all records for at least five years. Enhanced due diligence is required for politically exposed persons (PEPs), non-face-to-face transactions, and unusually large or complex operations, as detailed in Syria's AML/CFT guidelines.
- Suspicious Transaction Reporting: Businesses are mandated to monitor all transactions and report any suspicious operations to the CCMLFT. These reports must be submitted immediately, typically within one business day of detection, to allow for timely investigation.
- Internal Controls: Companies must establish strong internal compliance programs. This involves appointing dedicated compliance officers or committees, providing regular AML/CFT training for employees, and conducting internal and external audits to ensure adherence to regulations.
- International Dealings: Following the lifting of U.S. sanctions, financial institutions can establish correspondent banking relationships with Syrian counterparts. However, OFAC encourages a risk-based approach, and firms must still ensure that no parties involved in a transaction are on the Specially Designated Nationals (SDN) List.
Why this matters for Cross-Border Payments
Navigating cross-border payments with Syria requires careful attention to its existing AML/CFT framework, even in the absence of specific crypto laws. Businesses face the significant pain point of implementing enhanced due diligence to ensure no transacting parties are on remaining sanctions lists, which adds operational friction. This environment of regulatory ambiguity and perceived risk can lead to payment delays or outright rejections from cautious international banks, impacting trade and investment flows.
How Lightspark Enables Compliant Crypto-Native Payments
Lightspark provides infrastructure to modernize global payments through two key products. Lightspark Connect allows businesses to natively use the Bitcoin Lightning Network for instant, low-cost transactions by managing complex infrastructure like nodes and liquidity. For regulated institutions, Grid Switch leverages domestic real-time payment systems to facilitate cross-border fiat transfers, using the Lightning Network as a settlement layer without direct crypto exposure.
This addresses the friction of cross-border payments in markets like Syria. Grid Switch enables instant, global transfers with built-in compliance features, helping institutions navigate regulatory ambiguity. Lightspark Connect offers audit-ready reporting and flexible custody, facilitating adherence to AML/CFT rules. By providing compliant-ready infrastructure, Lightspark helps regulated entities access modern payment rails without needing to build custom compliance tooling, easing the operational burden.
To learn more about how Lightspark is enabling instant, low-cost cross-border payments, visit their website.
Notice: This article is provided for informational purposes only and does not constitute legal advice.
Sources
- "AML/CFT Compliance Guidelines for Syria." AML Watcher, amlwatcher.com/our-coverage/syria/.
- "Crypto exchange Binance opens trading to Syrians after US lifts sanctions." The Economic Times, 12 June 2025, m.economictimes.com/tech/technology/crypto-exchange-binance-opens-trading-to-syrians-after-us-lifts-sanctions/articleshow/121796754.cms.
- Danon, Eitan. "Cryptocurrency in the War Zone: Recent Events in Syria." Chainalysis, 12 Dec. 2024, www.chainalysis.com/blog/cryptocurrency-in-war-zone-syria/.
- Kalia, Shubham, and Devika Nair. "Crypto exchange Binance opens trading to Syrians after U.S. lifts sanctions." Reuters, 12 June 2025, www.reuters.com/world/middle-east/binance-says-it-is-now-available-syrian-residents-2025-06-12/.
- Thompson, Rebecca. "Durable Solutions in the Digital Age: Decentralised Finance, Cryptocurrency, and the Future of Return in Syria." Refugee Law Initiative Blog, 9 July 2025, rli.blogs.sas.ac.uk/2025/07/09/durable-solutions-in-the-digital-age-decentralised-finance-cryptocurrency-and-the-future-of-return-in-syria/.
- U.S. Department of the Treasury, Office of Foreign Assets Control. "Frequently Asked Questions - Newly Added." Office of Foreign Assets Control, 30 June 2025, ofac.treasury.gov/faqs/added/2025-06-30.
- "Which Countries and Regions Allow Cryptocurrency As Legal Tender?" CoinMarketCap, coinmarketcap.com/legal-tender-countries/.
