Bitcoin, Ethereum, Tether,… Recently, the so-called digital currencies or encrypted assets have appeared, which have been increasingly welcomed and accepted, and demand has caused the prices of digital currencies to rise to levels that were rarely reached, and are even used in international financial transactions.
Long live Egypt
The Central Bank warns against Bitcoin.. and 10 million pounds fine as a penalty for trading and issuing digital currencies
However, the Central Bank of Egypt warned against dealing with all types of encrypted virtual currencies, because of the high risks that they cause, their value fluctuating greatly and their use in financial crimes and electronic piracy, in addition to that they are not issued by the Central Bank of Egypt or any official central issuing authority in the country. It can be referenced and, therefore, it lacks any physical cover that guarantees the stability of the currency and the protection of the rights of its dealers.
The warnings come within the framework of the Central Bank of Egypt’s follow-up to the spread of the phenomenon of cryptocurrency trading through some regional and international platforms, which have been significantly promoted in recent times.
The Central Bank warns against Bitcoin.. and 10 million pounds fine as a penalty for trading and issuing digital currencies
In the same context, the Law of the Central Bank of Egypt and the Banking System – promulgated by Law No. 194 of 2020 – sets deterrent penalties for issuing, trading in, promoting cryptocurrencies, creating or operating platforms for trading them or carrying out activities related to them.
Whoever violates this shall be punished with imprisonment and a fine of no less than one million pounds and not more than ten million pounds, or one of these two penalties.
The Central Bank of Egypt stressed that dealing within the Arab Republic of Egypt is limited to the official currencies approved by the Central Bank of Egypt only, and the Central Bank of Egypt calls on dealers in the Egyptian market to be very careful, and not to engage in dealing with those high-risk currencies.