Moroccan Central Bank Set to Float Draft Law for the Crypto Ecosystem

The ongoing crisis in the crypto market and the uncertainty prevailing in the financial market has deepened the need for countries, and financial institutions to adopt crypto regulation to guard against potential risk to crypto investors. 

Given this, Abdellatif Jouahiri, Morocco’s Central Bank’s governor also called Bank Al-Maghrib (BAM) said the country’s draft law for the nascent industry is now ready after the legislation to guide the virtual assets market in the country was worked on by several stakeholders. 

According to a report by Morocco World News, the drafted legislation had inputs from government officials as well as notable business persons. Other contributors also include the Moroccan Capital Markets Authority (AMMC), Insurance Supervisory Authority, and Social Security (ACAPS). 

With the help of all the stakeholders on board, BAM said it will leave no stone unturned with regard to the implementation of the proposed law.

Benefits of the Crypto Draft Law

The regulation will serve as a standard in protecting the integrity of its cryptocurrency sphere by coordinating the crypto service providers and ensuring they conform to laid down principles. 

Furthermore, the governor stressed that the legislation does not in any way attempt to hamper growth or innovation in the industry but is rather seeking to protect investors from associated risks in dealing with highly speculative markets.

Interestingly, BAM is already preparing ahead of the phase when cryptocurrency will see mainstream adoption by locals, hence the need for more comprehensive regulation. The regulator also consulted the World Bank as well as the International Monetary Fund (IMF) on the crypto regulatory methods that the country can adopt. 

Meanwhile, Nigeria which happens to be the most crypto-curious nation is doing everything possible to install regulations around the industry. The proposed cryptocurrency bill will recognize the use of Bitcoin (BTC), as well as some other digital currencies. Also, the bill will confirm the roles of the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) in the crypto sphere.

Also, Brazil just recently approved a bill for the crypto industry after it was passed by the nation’s Senate and Chamber of Deputies.