Response Of Egypt’s Central Bank To Country’s First Bitcoin Exchange

Government and Regulatory Bodies Shy Away From Bitcoin Egypt’s August End Launch

Just a few days after the news of Bitcoin Egypt launch set positive ripples in cryptospace , the Central Bank of Europe took to the local newspapers to announce it complete lack of support for the same. With Bitcoin aficionados going gaga over the much hyped launch of the first ever cryptocurrency platform in Egypt, a senior official of Central Bank of Egypt revealed that the bank does not have any upcoming plan for heralding pro cryptocurrency legislations or passing specific rulings to give a legal backing to the same.

Rami Khalil, the co-founder of Bitcoin Egypt is nonetheless highly optimistic about his venture and has also shared the good news of receiving approximately 300 pre-registration requests for his new trading platform.

Central Bank of Egypt (CBE) made a public announcement in June that they do not wish to herald the crypto revolution into the financial service paradigm as official currencies ensure greater stability than their volatile digital counterparts. Gamal Negm, the CBE deputy governor thus shut down all rumours which suggested that the central bank was exploring possibilities of allowing its holders to trade in and circulate digital currencies in banking sphere.

Reda Abdel Moaty, the acting chairman of Egyptian Financial Supervisory Authority stated that the said authority has not issued any operating license for the digital currency in European market. However Moaty also added that the financial regulatory body has not received any requests coming from entities aiming to establish a Bitcoin exchange platform.

The same view of licenses not being issued to Egyptian digital currency exchanges was seconded by Mohamed Farid Saleh who is the Chairman of Egyptian stock exchange.

According to Mahmoud Helmi, a lawyer who specialises on economic disputes, the legal framework of Egypt does not prohibit Bitcoin exchange in particular. However Bitcoin being an unrecognized currency might be considered to be a crime to engage in exchange of.

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