The Republic of Burundi, a landlocked country which forms a part of East and Central Africa has just outlawed the buying and selling of all digital assets because of the country’s inability to properly regulate and protect traders when things go wrong.
As explained by a director with the micro-finance department of the Burundi Central Bank, Alfred Nyobewumusi, the government decided to take this decision after it received several complaints from its citizens who lost considerable amounts of money, trading these cryptocurrencies. According to Nyobewumusi, there will be penalties for all who flout this rule.
“Strong measures could be taken against all those who will not respect this decision.”
Generally, cryptocurrency trading in Africa has not seen a lot of support from the several sovereign governments even though they aren’t all going so far as to ban it. In Nigeria for example, even though crypto is legal, the Nigeria Deposit Insurance Corporation (NDIC) published a press release a few months ago, warning against dependence on cryptocurrencies.
The Bank of Uganda’s deputy governor, Louis Kasekende, has also asked the Ugandan populace to be extremely careful about trading and investing in cryptocurrencies, especially as they are largely unregulated. The deputy governor expressly warned that the government has no laws guiding cryptocurrencies and everyone who chooses to go forward does so at their own risk.
Image Credits: Stock Photo Secrets