Namibia passes bill to regulate crypto and digital assets

Namibia has signed up with other African nations in accepting cryptocurrencies and digital assets by approving an expense in the National Assembly. The costs, which passed Namibias lower house of parliament on June 22, intends to regulate digital properties, cryptocurrencies and virtual possession provider (VASPs) in the country.The legislation intends to develop a structure for licensing and managing VASPs. It also seeks to select a regulatory authority responsible for monitoring these providers and their activities. The primary goals consist of making sure customer security, avoiding market abuse, and mitigating the threats of cash laundering, the financing of terrorism and proliferation activities connected with digital asset markets. The law likewise covers incidental matters associated with these objectives.Screenshot of Namibias Virtual Assets Bill. Source: Parliament of the Republic of NamibiaAccording to regional media reports, the costs is now awaiting main publication before entering into impact. Iipumbu Shiimi, Namibias Minister of Finance and Public Enterprises, apparently mentioned the facility of a regulatory body to monitor and approve licenses to VASPs in the country. Related: South Africa to mandate crypto exchange licenses by end of 2023: ReportNoncompliant service providers might apparently deal with penalties of as much as 10 million Namibian dollars ($671,572) and a 10-year jail term. The Bank of Namibia keeps its position that cryptocurrencies do not hold legal tender status in the country.In the report, Kazembire Zemburuka, the Bank of Namibias director of international relations and strategic interactions, specified the banks position, indicating that when the associated risks of developments like virtual assets are much better managed, the bank will make a decision and evaluate regarding their approval within the financial system.In 2017, the bank revealed that it was strongly versus the use of cryptocurrencies as a method of payment for services and items. It mentioned that virtual currency exchanges have no location in the African country under its decades-old law.Magazine: Bitcoin in Senegal: Why is this African country using BTC?