Zimbabwe's Financial Intelligence Unit issued a June 16 directive requiring all virtual asset service providers to formally register with the regulatory body. The mandate stems from Finance Act No. 7 of 2025, passed in December 2025, which amended Section 2 of Zimbabwe's Money Laundering and Proceeds of Crime Act to incorporate VASPs into the statutory definition of a financial institution. The regulatory push aims to align Zimbabwe with international standards for anti-money laundering and countering the financing of terrorism.
Finance Act No. 7 of 2025 Amends Money Laundering Law
Finance Act No. 7 of 2025, passed in December 2025, amended Section 2 of Zimbabwe's Money Laundering and Proceeds of Crime Act. The amendment formally incorporated virtual asset service providers into the statutory definition of a "financial institution." Acting under these newly expanded powers, the Zimbabwean Minister of Finance gazetted the Money Laundering and Proceeds of Crime (Virtual Asset Service Providers Registration) Regulations on June 10, 2026, under Statutory Instrument 99 of 2026.
Under the newly enacted law, any natural or legal person providing or facilitating the exchange of cryptocurrencies and fiat currencies must legally register. This also applies to entities providing custody services and financial services related to cryptocurrencies. The FIU has been designated as the primary supervisory authority responsible for enforcing these statutory measures.
FIU Designates Registration Requirements and Limitations
The FIU explicitly warned stakeholders that registration with its unit is strictly for monitoring purposes and does not grant firms a blanket commercial license. "Registration with the FIU for AML/CFT purposes does not, in itself, constitute authorization to carry on business in Zimbabwe," the public notice reads.
VASPs are still required to independently obtain any necessary operational approvals, licenses or authorizations from other relevant domestic authorities, such as the Reserve Bank of Zimbabwe or the Securities and Exchange Commission of Zimbabwe, depending on their business models.
FIU Issues Risk Warnings for Cryptocurrency Market
Alongside the registration mandate, the FIU issued a reminder to the public regarding the inherent and high-risk nature of the cryptocurrency market. The regulator emphasized that registration does not eliminate financial danger or act as a guarantee against losses.
The FIU highlighted several key risks that investors must carefully consider, including the volatility of cryptocurrencies, cyberattacks, scams and fraud. It also warned that, unlike traditional banking, crypto users have limited or no recourse or compensation mechanisms.
FAQ
What did Zimbabwe's Financial Intelligence Unit announce on June 16?
The FIU issued a directive requiring all virtual asset service providers to formally register with the regulatory body for anti-money laundering and countering the financing of terrorism purposes.
Why must VASPs register with Zimbabwe's FIU?
Finance Act No. 7 of 2025, passed in December 2025, amended Zimbabwe's Money Laundering and Proceeds of Crime Act to incorporate VASPs into the statutory definition of a financial institution, mandating registration for AML/CFT compliance.
Does FIU registration authorize VASPs to operate commercially in Zimbabwe?
No. The FIU explicitly stated that registration is strictly for monitoring purposes and does not constitute authorization to carry on business. VASPs must independently obtain operational licenses from authorities such as the Reserve Bank of Zimbabwe or the Securities and Exchange Commission of Zimbabwe.
