Decision in Two Weeks
Treasury Secretary Henry Rotich has been given two weeks to decide whether cryptocurrencies need to be controlled by the parliament, Business Daily Africa reported on Wednesday.
National Planning Committee and the Finance questioned Rotich in the country about bitcoin’s use. 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 are surprised to hear that the CBK isn’t aware that there is an ATM in town, a lounge at Kenyatta University, and a resort in Nyeri that trade in bitcoins. A bigger problem is in Kenya since individuals are trading billions in space yet the Treasury has not licensed and taxed it for example trade in bank and M-Pesa transactions.
When to Start Regulating
Rotich admitted that there’s a 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. So far,”I am not aware of individuals operating locally…But I will endeavour to discover whether we’ve got neighborhood exchangers,” the publication quoted him.
After explaining that any crypto exchanges will be identified by the central bank and evaluate their dangers to see whether regulation is needed he asserted:
The issue of cryptocurrencies is evolving and we could take a position as a nationBetcoin app This is a delicate balance between killing it and encouraging innovation.
Parliament’s Concerns about Crypto
Capital Business also reported on Wednesday that”Molo Constituency Member of Parliament Kimani Kuria needs cryptocurrencies such as bitcoins to be controlled due to risks associated with electronic currencies.”
Citing that”cryptocurrency transactions are anonymous,” Kuria claims they”can easily be used by corrupt government officials trying to conceal fraudulent money.”
He proceeded to describe,”A person that has billions of money obtained wrongly needs only to purchase several bitcoins which can store value in a system that lacks centralized outsight. Then he could go to another country, recover his money and move on with life.”
In answering a question by the Finance and National Planning Committee, Rotich was”reluctant to react on the government’s capacity to monitor and regulate cryptocurrency transactions conducted over the Kenyan borders,” the information outlet described. He elaborated:
Unlike other investment avenues, cryptocurrencies are not regulated by any government authorities. As a result of 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 the space.
What do you think Kenya will do about cryptocurrencies? Let us know in the comments section below.
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