This is because the bill will also upgrade the regulations guiding them. According to the governor of the Central Bank, Abdellatif Jouahri, the institution will release the regulation soon.
Best Practices For Crypto Regulation
Since the ongoing cryptocurrency market crisis, the issue of regulation has been a top discussion. Several jurisdictions are taking steps to issue regulations that will protect investors.
According to reports, Morocco’s central bank committee is working on cryptocurrency regulations. Abdellatif Jouahri, the Bank Al-Maghrib (BAM) governor, has confirmed the report.
Also, the governor revealed that the institution had sought the advice of international organizations. They include the World Bank and the International Monetary Fund (IMF).
This is to ensure that they provide the best practices for crypto regulation. Before the governor’s present remark, Bitcoin.com made a report earlier in March.
According to Bitcoin.com, the central bank of Morocco was meeting with various institutions on crypto regulation. It also met with the central banks of Switzerland, Sweden, and France.
The governor of Morocco’s central bank stated that:
“The regulation of the crypto sector would allow for faster adoption. The state cannot adopt crypto now that there are no regulations. Hence, we have created a committee that would look into the regulation of the crypto sector.”
Balancing Consumer Protection And Innovation
Meanwhile, according to Mapnews, the BAM’s crypto regulation will not hamper crypto innovation. The bill would create a balance between innovation and protecting the rights of investors.
Jouhari stated that the bill would look at other areas besides regulating the crypto sector. These include terrorism financing and money laundering. It would tighten regulation in these areas.
In the past, the central bank stated that Moroccans would likely embrace digital currencies. However, several authorities have warned about the risks associated with cryptocurrencies.
They include the Moroccan Capital Market Authority and the Ministry of Finance. However, the central bank Governor believes proper regulations would alleviate such risks.
According to Bitcoin.com, Morocco ranks 5th in terms of crypto ownership. This shows that crypto has a future in the country.
Other nations such as Nigeria are leading the pace in terms of crypto ownership. Generally, in Africa, most governments have maintained an anti-crypto stance.
Meanwhile, ownership and usage of crypto in such areas continue to grow. Also, the central African Republic took a bold step and legalized BTC as a legal tender.