Nauru becomes first Pacific nation to establish dedicated crypto regulator

Nauru has become the first Pacific nation to establish a dedicated regulatory authority for virtual assets.

The Pacific nation of Nauru passed legislation on June 17 to create the Command Ridge Virtual Asset Authority, an autonomous body that will oversee cryptocurrency, digital banking, and Web3-related services.

Under the new law, the CRVAA will introduce a licensing regime for virtual asset service providers, allowing them to register and operate using Nauru as a legal base.

Although cryptocurrencies were already legal in Nauru, trading until now existed in a largely unregulated environment, with no specific oversight, licensing requirements, or regulatory framework in place.

Under the new legislative framework, legal definitions have been introduced for various crypto-related activities.