PANews reported on August 20 that according to News.bitcoin, the Bank of Ghana has released draft regulations aimed at establishing a framework for the cryptocurrency industry. These rules are designed to protect consumers, prevent financial crimes, and encourage financial inclusion. Virtual asset service providers (VASPs) will be required to register and meet strict standards, while commercial banks are prohibited from dealing directly with virtual asset businesses. The public will have the opportunity to provide feedback on the proposed regulations before they are finalized.
The Bank of Ghana (BOG) recently published draft regulations aimed at establishing a regulatory framework for digital assets. The rules, released on August 16, are intended to promote financial inclusion while protecting cryptocurrency users. The central bank’s decision came after a comprehensive analysis of digital assets such as Bitcoin (BTC) and the USDT stablecoin. The analysis found that Ghana’s tech-savvy population is increasingly using digital assets as internet penetration and the rise of virtual asset service providers (VASPs) have increased. While cryptocurrency usage remains low compared to traditional finance, the BOG believes that the role of cryptocurrencies in cross-border payments and remittances requires regulation. The regulations are designed to address money laundering, fraud, and cybersecurity threats while adhering to international standards.
In addition, virtual asset service providers must meet capital requirements and have internal controls and risk management frameworks. The draft clearly states that commercial and registered financial institutions can only provide services to registered virtual asset service providers. No bank or financial institution can directly handle virtual asset-related business. Before finalizing the regulations, the BoG will conduct a sandbox testing process to identify potential problems or improve the rules. The public can reportedly submit feedback before August 31.
