Namibia passes bill to regulate crypto and virtual assets

Namibia has joined different African nations successful embracing cryptocurrencies and digital assets with the support of a measure by the Namibian National Assembly. The measure which was passed connected June 22, aims to modulate integer assets, cryptocurrencies and the providers of integer plus services wrong the country, signaling a affirmative outlook for the industry.

The intent of the legislation is to found a model for licensing and regulating virtual plus work providers. It besides aims to designate a regulatory authorization liable for supervising these providers and their activities.

The main objectives see ensuring user protection, preventing marketplace abuse, mitigating the risks of wealth laundering, financing coercion and proliferation activities associated with virtual plus markets. The instrumentality besides covers incidental matters related to these objectives.

Screenshot of Namibia's Virtual Assets Bill.  Source: Parliament of the Republic of Namibia

According to section media reports, the measure is present awaiting authoritative work earlier it tin beryllium enactment into effect. Iipumbu Shiimi, Namibia's Minister of Finance and Public Enterprises, reportedly mentioned the constitution of a regulatory assemblage to supervise and assistance licenses to virtual plus work providers successful Namibia.

Non-compliant providers could reportedly look penalties of up to $671,572 (10 cardinal Namibian dollars) successful fines, a 10-year situation term, oregon both. However, it's important to enactment that the Bank of Namibia maintains its presumption that cryptocurrencies bash not clasp ineligible tender presumption successful the country.

Kazembire Zemburuka, the Bank of Namibia's manager of strategical communications and planetary relations, stated the Bank of Namibia's position, the reports said, indicating that erstwhile the associated risks of innovations similar virtual assets are amended managed, the slope volition measure and marque a determination regarding their acceptance wrong the fiscal system.

Related: South Africa to mandate crypto speech licenses by extremity of 2023: Report

In 2017, the Bank of Namibia announced that it was strongly against the usage of cryptocurrencies arsenic a method of outgo for goods and services. It stated that virtual currency exchanges person nary spot successful the African country, nether its decades-old law. It further affirmed that cryptocurrencies were without ineligible tender presumption successful the country.

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