Ghana SEC Mulls Over Possibility of Regulating Cryptocurrencies

By Prashant Jha

It seems to be the time when crypto finally comes into its own in the continent of Africa, as after South Africa, Ghana has shown signs of considering a set of crypto regulations. Reports from local media outlets suggest that the Securities and Exchange Commission (SEC) of the country is considering a framework to regulate crypto, rather like how South Africa just released a proposed draft of something similar.

Paul Abio, who serves as the Director General of the country’s SEC, reportedly stated that the body is looking to formulate and formalize a proper regulatory framework that would lay down the rules for cryptocurrencies to exist and operate in Ghana as legal tender.

Speaking to a local news outlet, Paul Abio said the following regarding the attitude of concerned parties to cryptocurrencies and the SEC’s vision for it going forward:

“…..People to desist from dealing with these crypto entities but when you choose to go there you are on your own, we are looking at the area obviously various chances of……have adopted a wide range of chances on it and we are still doing our research and gathering information and we welcome any input that people might have to help us formulate a view on how we should deal with it in Ghana.”

As he elaborated on the possible decisions that the SEC may make, he said that there may be a requirement of introducing certain licensing criteria, especially meant for the cryptocurrency exchanges that try to make a foray into the country. It would be a possible way of protecting Ghanaian investors who left their funds with such exchanges.

As of now, he said, till a framework is put into place, investors should steer clear of exchanges which are still completely unlicensed. He said since an overnight, quick fix solution was not possible or implementable, the best course of action for crypto traders and investors to avoid such exchanges altogether.

He told media houses that SEC is still going though the process of researching and decision-making before arriving at any definite framework. The fact that he asked for input from external parties is proof that the Ghana SEC is truly trying to take a step forward with this progressive technology.