Egyptian Central Bank Issues Crypto Warning – Violators Risk Imprisonment – Bitcoin News Settlement

The Central Bank of Egypt (CBE) has issued a new warning on the cryptocurrency, noting that offenders could risk imprisonment. The law of the Egyptian central bank “prohibits the issuing, trading or promotion of cryptocurrencies, the creation or management of platforms for trading or carrying out related activities”.

Cryptographic Notice Issued by the Central Bank of Egypt

The Central Bank of Egypt (CBE) renewed its warning on all types of cryptocurrencies, citing a number of risks, including high volatility, use in financial crime and electronic piracy, Egypt reported. independent Tuesday. The ECB also pointed out that cryptocurrencies are not issued or backed by the central bank or any other official authority.

“In the same context, the Law of the Central Bank of Egypt and the Banking System – promulgated by Law no. 194 of 2020 – prohibits the issuance, trade or promotion of cryptocurrencies, the creation or management of platforms for trading or carrying out related activities “, reads the CBE statement, adding:

Anyone who violates this will be jailed and fined no less than £ 1 million and no more than LE 10 million. [$516,340]or one of these two penalties.

The Egyptian central bank issued a similar warning on cryptocurrencies in January 2018, naming bitcoin in particular, stating:

It is noteworthy that cryptocurrencies are not issued by any central bank, nor by any official central issuing authority that can be held accountable.

“Furthermore, cryptocurrencies are not backed by any tangible assets and are not overseen by any regulatory body anywhere in the world and, as a result, lack the official government guarantee and support that other official currencies issued by central banks enjoy. “added the central bank.

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Dar El-Ifta in Egypt, the government’s leading Islamic institution for issuing fatwas (religious views), issued an edict in January 2018, declaring that all uses of the cryptocurrency were ḥarām, or prohibited, including purchase, sale and leasing.

What do you think of the cryptocurrency notice from the Central Bank of Egypt? Let us know in the comments section below.

Kevin Helms

Austrian economics student Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin’s security, open source systems, network effects, and the intersection of economics and cryptography.

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