The African continent have kept relatively quiet on the topic of cryptocurrencies, except for one unique initiative, involving several African countries which came up with a joint initiative to offer cryptocurrencies.
Cote d’ivoire, Benin, Burkina Faso, Mali, Niger, Togo and Guinea have joined in a rather unique project involving a partnership between a local bank (Banque Régionale de Marchés (BRM) from Senegal) and eCurrency Mint Limited, an Ireland based firm which develops and provides technology that enables central banks to issue crypto fiat currency, to develop and provide all member countries with their very own cryptocurrency. The specifically designed cryptocurrency will be available first in Senegal and in a second phase in Cote d’Ivoire, Benin, Burkina Faso, Mali, Niger, Togo and Guinea. This new cryptocurrency will be compliant with applicable AML regulations and will be transacted across all existing payment platforms in the above mentioned participating countries and will be considered equivalent to physical legal tender.
In South Africa, the central bank issued a statement claiming it is “open” to cryptocurrencies and blockchain technology and its potential applications.
The regulatory landscape is constantly changing and we expect to see further developments and regulatory possibilities. We will certainly keep updating on the matter.
Porat Group is one of the first law firms to offer legal services related to cryptocurrencies and regulating cryptocurrency businesses. Our lawyers handle regulation processes for the industry in several jurisdictions and additionally make sure to continually be up to date with any news and changes in the cryptocurrency industry. We are also one of very few law firms accepting payments in cryptocurrencies in return for our services.
If you are a business owner active in the cryptocurrencies industry who would like to know more about regulating your product or business, as well as what your alternatives regarding regulation are, please contact Porat Group for a free, non-binding consultation on the matter.