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Coin Geek
06-05-2025
- Business
- Coin Geek
Ghana to begin digital asset regulation in September
Getting your Trinity Audio player ready... Ghana's central bank will begin overseeing the digital asset space later this year, pending the passage of legislation currently before parliament, Governor Johnson Asiama has revealed. Asiama spoke at the African Leaders and Partners Forum, held in Washington on the sidelines of the International Monetary Fund (IMF)-World Bank Spring Meetings. He pledged the Bank of Ghana's (BoG) commitment to promoting digital asset adoption by enforcing friendly laws that protect consumers without stifling innovation. The central bank's oversight authority relies on legislators passing the Virtual Asset Providers Act, the governor stated. The proposed framework covers consumer protection, preventing illicit 'crypto' use, financial stability, cybersecurity, and the interaction of virtual asset service providers (VASPs) with mainstream finance. VASPs must obtain a license from the top bank, with the Securities and Exchange Commission (SEC) also involved in oversight. The central bank intends to establish a dedicated digital asset unit once the legislation is passed, Asiama added. 'This is a technology we cannot prevent, hence the need to move fast to regulate it.' Despite the lack of regulation, Ghana's population has taken to digital assets, led by the young and tech-savvy. A November report revealed that 3.1 million Ghanaians owned a digital asset, representing 17% of the population. Data from 'crypto' analytics platform CoinGecko further revealed that the country ranks fourth in Africa for 'crypto' interest behind Nigeria, South Africa, and Kenya. Beyond digital assets, Ghana is also accelerating the development of its digital currency: the eCedi. In February, BoG's innovation head, Kwame Oppong, revealed that the central bank intends to launch the central bank digital currency (CBDC) this year, pending the passing of new legislation to support a sovereign digital currency. Speaking in Washington, Asiama reiterated the bank's commitment to the CBDC, which he believes will digitalize the country's payment systems. 'Africa's future must be digital—but inclusive. Ghana's eCedi pilot reflects our ambition to build not only innovative payment systems, but public infrastructure that expands access and safeguards monetary sovereignty,' he noted. Asiama believes inclusive digital transformation is the best way to empower Ghana's youth. Like many others in Africa, Ghana has a very young population, with 56% of Ghanaians aged 25 and below. This young population has turned to digital asset trading amid an economic crisis that has led to a record number of emigrations from the West African nation. The cedi's continued depreciation in the past two years has also pushed Ghanaians to explore hedges, with USD-pegged stablecoins proving a popular choice. In March, the cedi dipped 5.3% against the USD and 9.2% against the euro; in 2024, it lost 19% of its value against the greenback. Watch: Tech redefines how things are done—Africa is here for it title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen="">
Business Insider
24-04-2025
- Business
- Business Insider
Ghana's central bank announces moves to regulate cryptocurrency, sets deadline
In a major step toward bringing digital currencies under regulatory control, Ghana's central bank has set a September 2025 deadline for cryptocurrency regulation. Ghana's central bank sets September 2025 deadline for cryptocurrency regulation Bank of Ghana seeks authority to license and regulate platforms and participants in the virtual asset space Ghana joins other African nations in issuing directives on the use, purchase, and transaction of cryptocurrencies This cryptocurrency initiative, led by Ghana's central bank is expected to provide clarity and stability to the industry, ensuring consumer protection while fostering innovation. The announcement was made by Bank of Ghana (BoG) Governor, Dr. Johnson Asiama, during the African Leaders and Partners Forum, hosted by the EBII Group on the sidelines of the IMF/World Bank Spring Meetings in Washington, D.C. Dr. Asiama explained that the move is contingent on the passage of the Virtual Asset Providers Act, which will grant the Bank of Ghana the authority to license and regulate platforms and participants in the virtual asset space. The central bank's decision aligns with a growing trend across Africa to establish clear frameworks for cryptocurrency operations. ' To strengthen the regulation of these platforms and assets, the Bank of Ghana is setting up a dedicated unit focused on digital assets,' Dr. Asiama revealed. Ghana's journey to crypto regulation In the past, the Bank of Ghana (BoG) issued several public notices clarifying that digital assets are neither recognized as legal tender nor regulated under Ghanaian law. This stance reflected the central bank's cautious approach, highlighting the risks associated with unregulated digital currencies, such as fraud, money laundering, and consumer protection concerns. Similarly, the Securities and Exchange Commission (SEC) of Ghana maintained a conservative view on digital assets, issuing warnings about the use of cryptocurrencies and clarifying that it does not regulate cryptocurrency offerings or the platforms and exchanges associated with them. With this new update, Ghana joins the ranks of Nigeria, South Africa, Kenya, and other African nations that have issued directives on the use, purchase, and transaction of cryptocurrencies. Ghana's interest in cryptocurrency regulation began in 2021, when the Bank of Ghana first signaled its intentions to address the growing digital asset market. The central bank's initial focus was on ensuring consumer protection and financial stability, particularly as the popularity of cryptocurrencies like Bitcoin and Ethereum soared. Ghana's regulatory efforts gained momentum in 2023, when the country introduced a comprehensive framework aimed at overseeing the trading and use of digital assets, aligning with global efforts to establish clearer guidelines for cryptocurrency operations. Dr. Asiama highlighted that central banks across the continent are embracing significant reforms to boost transparency, independence, and credibility.
