The Central Bank of Egypt Crypto Warning – Violators Threat Arrest – Regulation Bitcoin News

The Central Bank of Egypt (CBE) has issued a new warning about cryptocurrencies, noting that violators could face prison terms. The Central Bank of Egypt law prohibits “mining, trading or promoting cryptocurrencies, creating or operating trading platforms, or performing related activities.

Crypto warning issued by the Central Bank of Egypt

The Central Bank of Egypt has renewed its warning about all types of cryptocurrencies, citing several risks including high volatility, financial crimes and illegal use, The Egypt Independent reported on Tuesday. The ECB also emphasized that crypto is not issued or supported by the central bank or any official authority.

“Similarly, the Central Bank of Egypt Law and Banking System – promulgated by Law No. 194 of 2020 – prohibits the issuance, trading or promotion of cryptocurrencies, the creation or operation of trading platforms or related activities,” the CBE statement added:

Anyone who contravenes this shall be liable to imprisonment and a fine of not less than one million pounds and not more than LE10 million. [$516,340]or one of these two punishments.

The Central Bank of Egypt issued a similar warning in January 2018 about cryptocurrencies, specifically Bitcoin.

It should be noted that cryptocurrencies are not issued by any central bank or any official central issuing authority that may be held accountable.

“Furthermore, cryptocurrencies are not backed by any tangible assets and are not regulated by any regulators around the world, and as a result, they do not have the official government guarantees and support that other official currencies issued by central banks get,” the central bank added.

Egypt’s Dar el-Ifta, the government’s main Islamic institution that issues fatwas (religious opinions), declared in January 2018 that any and all use of cryptocurrency is haram, or prohibited – including buying, selling and renting it.

What do you think about the crypto warning by the Central Bank of Egypt? Let us know in the comments section below.

Kevin Helms

Kevin, an Austrian economics student, discovered Bitcoin in 2011 and has been an evangelist ever since. His interests are in Bitcoin security, open source systems, network effects and the relationship between economics and cryptography.

Image credits: Shutterstock, Pixabay, Wiki Commons

DisclaimerThis article is for informational purposes only. It is not an offer or solicitation to buy or sell, or a recommendation or endorsement of any products, services or companies. does not provide investment, tax, legal or accounting advice. Neither the Company nor the Author shall be liable, directly or indirectly, for any damages or losses arising out of the use of or reliance on any content, goods or services referred to in this paragraph.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *