Some stakeholders in the financial sector have cautioned that until the Bank of Ghana (BoG) comes out with strict regulations on the operations of Crypto currency, it will be dangerous to enter the space even though it is gaining grounds in Europe and other parts of the world.
Recently, the Central African Republic approved Bitcoin as a legal tender, the second country to do so after El Salvador. In Europe, the European Union is considering bills to manage digital assets and crypto currencies to provide some level of regulations.
In Ghana, the Central Bank has cautioned the public to stay away from crypto currency since it is not regulated.
Speaking to Joy Business on the sidelines of the Money Summit organized by the Business and Financial Times, the Ghana Country Manager of AZA Finance, Nana Yaw Owusu Banahene, said it will take some time for the central bank to design appropriate regulations for the industry.
Supporting the long standing position of the BoG, Mr. Banahene cautioned that the public must be careful with crypto currency until the central bank comes out with clear guidelines since its operations can affect money circulation in the economy.
“It has to be done well because implementation of crypto currency can cause certain shocks in the economy, in terms of financial stability, in terms of monetary supply,” he said adding that the regulator is always mindful of protecting consumers and maintaining price stability.
He stated that one of the challenges with crypto currency is the regulator’s in ability to control the exchange platform, a situation that creates uncertainties on activities in the sector.
Mr. Banahene pointed out that the desire in other jurisdictions to control crypto currency at a certain level has created an appetite for people around the world to venture into it.
He however reiterated the need to remind the public of the challenges and dangers associated with the platform.
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