The Kuwait Capital Markets Authority (CMA) has announced its commitment to an “absolute ban” on virtually all cryptocurrency transactions in the country. About it says Online.
According to the circular, the measures apply to payments, investments and mining. The CMA also banned local regulators from issuing any licenses allowing firms to “provide virtual asset services as a commercial business.”
The restrictions do not apply to securities and other financial instruments regulated by the Central Bank of Kuwait and CMA. The management urged caution and awareness of the risks associated with cryptocurrencies.
«[…] they do not have legal status, are not issued or supported by any government, and are not associated with any asset or issuer, the prices of these assets are always driven by speculation,” the document says.
The CMA added that the new rules are in line with measures to combat money laundering and terrorist financing.
In May 2021, the Central Bank of Kuwait warned about the risks of investing in cryptocurrencies, pointing out their volatility. The regulator also mentioned the high electricity consumption of miners, which “adds an environmental dimension to the threat.”
Recall that in February 2023, Huang Yiping, a former member of the monetary policy committee of the People’s Bank of China, called on the authorities to reconsider the total ban on bitcoin.
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2023-07-20 07:54:29
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