A new regulation requiring new licenses in advance for anyone who engages in creation, promotion, and operation of cryptocurrency business in the country has been implemented by the Central Bank of Egypt (CBE)
‘”The right to issue rules governing the dealing and trading of this type of currency has been granted to the Board of Directors of CBE under the draft bill,’ according to the Egypt Independent dailies.
MENA region, with it’s history of banning crypto activities prompted the need for regulation as CBE will use the opportunity of the new bill granted to draft future guidelines for handing, storing and trading cryptocurrency.
An attempts to keep the banking industry at par with current innovations around electronic settlement, issuance and circulation of electronic checks, as well as electronic discount orders will be the new draft law interest as they look at Fintech industry as a whole.
The recent successful simulation test of letter of credit transactions by over 50 banks which included the National Bank of Egypt after which the new law emerged. Egypt is also considering introducing A blockchain-based digital version of its fiat currency is being considered by Egypt as they hope to make transaction cost minimal when compared to coins and bank notes.
Until the end of 2019, when the regulation of cryptocurrencies in Egypt will begin to set in.
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