Regulators in Africa are adopting a wait and see approach with regards to cryptocurrencies according to Ecobank’s recent report on crypto regulation on the continent.
The report indicates that while most Sub-Saharan countries including Kenya are taking a contentious stance while monitoring the situation continuously, countries such as South Africa and Swaziland have taken a permissive and favourable stance.
On the other hand, countries like Rwanda, Ghana, Zambia, and Cameroon have shown an indication of researching cryptocurrencies but have warned its citizens of the risks while countries like Burundi, Niger, Chad, and Sierra Leone have not made any public stance for or against cryptocurrencies.
“Many African governments and regulators recognise both the risks and the potential positive impacts of cryptocurrencies, and some also appreciate the difference between cryptocurrencies and the underlying blockchain technology. But they have been reticent in authorising cryptocurrency transactions, and mostly remain apprehensive about the potential risks. African countries appear to be looking to their neighbours to regulate and innovate first, and learn from their mistakes, rather than being the first mover,” the report reads.
