Saudi Arabia has no law that permits crypto mining and no law that bans it by name. The official statements on virtual currencies do not mention mining at all. Regulators have said since 12 August 2018 that virtual currencies are "not regulated inside the kingdom of Saudi Arabia." They have also said that no party is licensed to deal in them. So mining itself is not banned, but no licence exists for it, and what you mine, along with anything you do with it, has no legal recognition or protection in the Kingdom.
The newest development: none on mining
As of October 2026, Saudi Arabia has issued no law, licence or regulator statement specific to crypto mining. The most recent related official action is a fintech step. On 28 June 2026 the Saudi Central Bank (SAMA) launched an enhanced Regulatory Sandbox service on its e-services portal, with automated onboarding and application tracking. The announcement does not mention crypto, virtual assets or mining.
What the official statements actually say
12 August 2018: the Standing Committee warning
The Standing Committee for Awareness on Dealing in Unauthorized Securities Activities in the Forex Market issued the key statement. A royal decree created the committee, and its members include the Capital Market Authority (CMA) and SAMA. SAMA and the CMA both published the statement. It says:
- virtual currencies "are not regulated inside the kingdom of Saudi Arabia";
- Bitcoin and similar currencies are not approved as official currency in the Kingdom;
- no party is licensed by the regulators to carry out such activities;
- these activities carry high regulatory, security and market risks, and residents should avoid get-rich schemes, fictitious contracts and transfers of funds to unknown parties.
The statement does not mention mining. Some news outlets described it as making crypto "illegal," but that word does not appear in the official text. The official wording is "not regulated" and "not approved."
2019: Ministry of Finance warning
The Law Library of Congress reports a 2019 Ministry of Finance warning against dealing in or investing in virtual currencies, "as they are neither legally recognized nor regulated by any official entities in Saudi Arabia."
Legal status as of December 2024
A January 2025 review by the Law Library of Congress concluded:
- "As of December 2024, Saudi Arabia has not enacted specific legislation governing cryptocurrencies."
- "While it is not explicitly prohibited, cryptocurrencies lack formal legal recognition."
- Individual ownership and trading are not explicitly banned, but local financial institutions do not deal in cryptocurrencies.
No later law or regulator statement has changed this position in 2025 or 2026.
What this means for a miner
Mining itself is not named in any Saudi law or warning. The legal risk sits around the activity:
- No licence exists. No regulator offers a licence for mining or for dealing in mined coins, so a mining business cannot get official approval.
- Converting rewards to riyals goes through the banks. Local financial institutions do not deal in cryptocurrencies, so turning mined coins into riyals means using a system that does not recognise the asset.
- Money-laundering law still applies. The Anti-Money Laundering Law (Royal Decree No. M/20, 25 October 2017) does not name crypto assets. The Law Library of Congress notes that its broad definition of "funds" covers assets of any type, "including those obtained through 'electronic or digital systems.'" The Implementing Regulations of the counter-terrorist-financing law (Royal Decree No. M/21) cover "electronic currencies."
- Records must be kept. Article 12 of the AML Law requires financial institutions and designated non-financial businesses and professions (DNFBPs) to keep transaction records "for a period of no less than ten years."
- Saudi Arabia is a full FATF member. It joined on 21 June 2019, the first Arab country to do so, so its anti-money-laundering rules follow FATF standards.
- Selling to others is the most exposed part. The 2018 warning targets the promotion of unlicensed investment schemes. Offering mining contracts or mining "investments" to residents fits that description.
The absence of public prosecutions for private mining does not make it safe: the activity simply sits outside any licence or protection.
Where does your mining sit under Saudi rules?
Answer three questions about your mining to see which part of the article's risk picture applies to you.
Do you offer mining, hosting, "cloud mining" or mining "investments" to Saudi residents?
- Yes → The most exposed position
- No → next question
Do you plan to turn mined coins into riyals through the Saudi banking system?
- Yes → Exposure at the banking step
- No → next question
Do you want official approval or a licence for a mining business?
- Yes → No licence exists to apply for
- No, I run my own hardware and hold the rewards → Grey zone without protection
The 12 August 2018 warning targets the promotion of unlicensed investment schemes, and no party is licensed by the regulators to deal in virtual currencies. Offering mining contracts or mining investments to residents fits that description. The article's checklist says not to offer them.
Local financial institutions do not deal in cryptocurrencies, so converting rewards means using a system that does not recognise the asset. The Anti-Money Laundering Law's broad definition of "funds" covers assets obtained through electronic or digital systems. Keep complete records; the AML Law's ten-year record period is a sensible benchmark.
No regulator offers a licence for mining or for dealing in mined coins, so a mining business cannot get official approval. Being admitted to SAMA's Regulatory Sandbox does not make mining legal. Get advice from a Saudi-licensed lawyer before buying hardware or signing power or hosting contracts.
Mining is not named in any Saudi law or warning, but virtual currencies are not regulated and lack formal legal recognition, so your rewards have no legal protection. We found no public record of a prosecution for private mining; that is a gap in the record, not evidence that mining is safe.
This sorts your situation against the official texts the article covers; it is not legal advice, and it cannot cover any new Saudi rule issued after October 2026 or how other GCC regulators treat mining.
Blockchain is allowed; private cryptocurrency is not recognised
Saudi authorities use blockchain technology while declining to recognise private cryptocurrencies. The clearest example is Project Aber, run by SAMA and the Central Bank of the UAE. It tested a single digital currency issued by both central banks for settling payments between banks across the border and within each country. The final report was published on 29 November 2020 and found distributed ledger technology useful for such transactions.
SAMA's Regulatory Sandbox lets licensed institutions and start-ups test new fintech models with real customers, for a set period and under SAMA supervision. Being admitted to the sandbox does not make mining or dealing in cryptocurrencies legal.
Nearby frameworks
Some Gulf neighbours do license crypto-asset businesses. The Central Bank of Bahrain issued its Crypto-Asset Module (CRA, Rulebook Volume 6) in February 2019 and amended it in March 2023. Frameworks like this license crypto-asset services; whether a specific mining setup falls within one depends on that jurisdiction's own rules.
Practical steps
- Get advice from a Saudi-licensed lawyer who works on financial regulation before buying hardware or signing power or hosting contracts.
- Separate the questions: running the hardware, holding the rewards, and converting them to riyals each carry different exposure.
- Do not offer mining, hosting or "cloud mining" to Saudi residents.
- Keep complete records of hardware, power use, rewards and transfers. The AML Law's ten-year record period is a sensible benchmark.
- Watch SAMA and CMA announcements for any new licence regime.
Because no Saudi text addresses mining directly, this article sets out what the official texts say and what they leave open. It is not legal advice.
