Kuwait's financial regulator, the Capital Markets Authority (CMA), has announced that the country banned all operations involving cryptocurrencies to combat money laundering and terrorism financing. Major use cases and operations affected by the ban include crypto payments, investments, and mining. The order also blocked local regulators from issuing licenses to allow firms to offer crypto services as a commercial business. - The securities and other financial instruments regulated by the CMA and the Central Bank of Kuwait were excluded from the ban.
- Also, the CMA warned citizens to take caution and be careful about the potential risks from virtual assets since they do not carry any legal status and are not issued or supported.
- The regulator added that the prices of cryptocurrencies can always be driven by speculation, causing a sharp decline.
- The circular, which prohibited crypto transactions, was also issued by the country's central bank, the Ministry of Commerce and Industry, and the Insurance Regulatory Unit.
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