Cambodian authorities have reportedly said that no cryptocurrency company has been issued a business license yet, and that conducting cryptocurrency-related activities in the country is still illegal.
The Fintech Industry is Growing Fast
According to a report, the Cambodian government did not approve the use or issuing of cryptocurrency. A document released recently by the Ministry of Finance and Economics states that it remains illegal to issue, trade or distribute cryptocurrencies in Cambodia.
China News Service reports that while the ministry acknowledges that fintech is growing quickly, it still reiterates that its long-standing ban against crypto trading continues to be in effect. According to Bitcoin.com News in 2018, the Cambodian authorities declared that trading or circulation of cryptocurrency without a license was unlawful.
Authorities warned at the time that crypto activity could pose a risk to society and the public. In the statement of May 11, 2018, authorities warned about the volatility and lack of backing from an underlying asset. Other risks included in the statement are cybercrime and lack of consumer protection.
Cambodia is drafting a Fintech Policy
A new joint statement was issued by the Finance ministry and the National Bank of Cambodia. The Securities Commission and National Police Agency also issued statements.
China News Service reports that Cambodia has begun to draft its Fintech Development Policy. This policy, which according to the Finance Ministry, will allow the country maximize the potential benefits and minimize the risk associated with this new technology.
Your thoughts? Please comment below to let us know your thoughts.
Image creditShutterstock. Pixabay. Wiki Commons
DisclaimerThis information is provided for educational purposes only. This article is not intended to be a solicitation or offer to sell or buy any product, service, or company. Bitcoin.com doesn’t offer investment, tax or legal advice. The author and the company are not responsible for any loss or damage caused or alleged caused by the content or use of any goods, services, or information mentioned in the article.