UGANDA PLANS TO REGULATE CRYPTO MARKET DUE TO THE GROWTH OF FINANCIAL PYRAMIDS

The government of Uganda plans to introduce cryptocurrency regulation to protect the population from the growing number of cryptocurrency-related financial pyramids, the local news outlet reported.

Uganda Finance Minister, David Bahati said that the government intends to introduce a new bill aimed at regulating the cryptocurrency market, responding to the concerns expressed by members of Parliament about the growth of the financial pyramids numbers:

“In October, the Cabinet approved the bill on the national payment system. We intend to propose it to Parliament next month”.

The representative of Masaka municipality, Mathias Mpuuga, noted that cryptocurrency agencies often “mislead” the people of Uganda, noting that now there is no law that regulates their activities.

Responding to a representative from the city of Masaka, the Minister of Finance recalled that the Central Bank and Parliament had previously warned investors about the risks associated with non-regulated schemes.

The cryptocurrency market is actively developing in Uganda, especially after the largest crypto-exchange Binance opened a branch in the country and began to accept deposits in Ugandan shillings: in the first week after the opening, 40,000 users registered on the exchange.