Conclusion in Two Weeks
Treasury Secretary Henry Rotich has been reportedly given fourteen days to determine whether cryptocurrencies will need to be regulated by the parliament, Business Daily Africa reported on Wednesday.
National Planning Committee and the Finance questioned Rotich concerning bitcoin’s use in the country. Specifically, the committee asked”why the Treasury and the Central Bank of Kenya (CBK) allowed individuals to venture into the unregulated cryptocurrency area without being licensed to operate and taxed,” the news outlet detailed and quoted the chairman of this committee, Joseph Limo, saying:
We’re surprised to hear that even the CBK isn’t aware that there’s an ATM in town, a lounge at Kenyatta University, and a hotel in Nyeri which trade in bitcoins. Since people are investing in billions in virtual space, a problem is in Kenya yet the Treasury hasn’t licensed and taxed it like trade in bank and M-Pesa transactions.
When to Start Regulating
Rotich admitted that there is a whole lot of interest in cryptocurrency, adding that he will look into if there are crypto exchanges operating in the country and best bitcoin casino free play. Thus far,”I am not aware of people operating locally…But I will endeavour to find out whether we’ve got neighborhood exchangers,” the book quoted him.
He asserted after explaining that the central bank will identify any local crypto exchanges and evaluate their risks to see whether regulation is required now or afterwards:
The matter of cryptocurrencies is evolving and we can take a position as a nationHow does Fortune Jack bonus This is a delicate balance between supporting innovation and killing it.
Parliament’s Concerns about Crypto
Capital Business also reported on Wednesday that”Molo Constituency Member of Parliament Kimani Kuria wants cryptocurrencies for example bitcoins to be regulated because of risks associated with digital currencies.”
Citing that”cryptocurrency transactions are anonymous,” Kuria claims they”can easily be used by corrupt government officials seeking to conceal fraudulent money.”
He proceeded to explain,”A person that has billions of cash obtained wrongly needs only to buy several bitcoins which can store value in a system that lacks centralized outsight. Then he could go to another country, recover his money and proceed with life.”
In answering a question by the Finance and National Planning Committee, Rotich was”reluctant to respond on the government’s capacity to monitor and regulate cryptocurrency transactions conducted within the Kenyan borders,” the news outlet described. He elaborated:
Unlike other investment avenues, cryptocurrencies aren’t controlled by any government authorities. Due to limited understanding of the cryptocurrency their nature and the influx of businesses engaging in it, it’s prone to abuse by terrorists, criminals and extortionists that are currently taking advantage of their unregulated space.
What do you think Kenya will do about cryptocurrencies? Tell us in the comments section below.
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