Egypt will allow licensed cryptocurrency companies
The country is loosening its restrictions with respect to cryptocurrencies. Their new bill will establish permits only for those companies in the cryptographic ecosystem that have state licenses
The new bill will prohibit the creation, trade or promotion of cryptocurrencies without a specific license. It should be emphasized that previously Egypt prohibited everything related to cryptography under Islamic law.
Shawki Allam, an Islamic jurist, issued the ban in early 2018 and declared that blockchain technology could undermine the legal system through tax evasion, money laundering and other fraudulent activities.
Evidently, as the market expands and neighboring countries begin to explore technology, the government softens its position and is transforming.
The bill will give the board of directors of the Central Bank of Egypt the right to regulate digital currencies and require multiple potentially expensive licenses to do business.
The official report states: “The new law provides legal authority for the electronic authentication of bank transactions, electronic payment orders and transfer orders, as well as for the electronic settlement of checks and the issuance and circulation of electronic checks and electronic discount orders, provided that the Board of Directors of the bank allows issuing rules and procedures that regulate all the aforementioned actions.”
L.Sáenz
Source: Diario Bitcoin
