Morocco is enacting a crypto law that is allegedly aimed at protecting crypto investors from new industry risks. This will be Morocco’s first cryptocurrency bill, which will be introduced in the coming days.
The regulatory framework will be presented to stakeholders soon, as there is an undeniable need to implement regulations as crypto has gained popularity in the country. Currently, the Central Bank has finished writing the document and is on its way to discussions with key members of the crypto sector.
During a press conference, Abdellatif Jouahiri, the governor of Bank Al-Maghrib (BAM), Morocco’s central bank, recently stated about the discussions between BAM and the main market players.
The Moroccan Capital Markets Authority (AMMC), the Insurance Supervisory Authority (ISA), and the American Board of Pensions and Social Security (ACAPS) are among the market participants that will play an important role in determining the flow of the regulatory process.
This will be applied before the crypto law. Jouhari also stated:
For cryptocurrencies, I can assure you that the project is ready. We are working with the World Bank and consultants to make it happen. Different things have been done. We are currently engaged in discussions with various stakeholders. It is long, but it is necessary to allow everyone to comply with this project.
Working with Central Banks of Other Nations
The Moroccan government has recognized the need for a regulatory framework for the industry as Moroccans have been using the technology for some time. The construction of the framework will be long but also important.
In addition, the central government of Morocco has been in contact with the central banks of France, Sweden, and Switzerland to examine the regulatory situation of these countries, which previously had experience with digital assets.
Through this regulation, the governor stated that the law will help define the definition of crypto that suits Morocco. With the help of crypto regulation, the legislation aims to create more innovation without slowing the growth of the industry.
The main reason for introducing this regulatory structure is to ensure that customers are protected from the extreme volatility of this market.
Morocco is one of the fastest growing Crypto Markets in North Africa
According to a report from Chainalysis, it has been revealed that the crypto market has grown at a substantial level in the Middle East and North Africa (MENA) region. It is one of the fastest growing crypto sectors across the globe. Morocco went from 2.4% of the population owning crypto to 3.1% in just one year.
Two years ago, Soluna, a computer application company, installed the first blockchain-powered wind farm in Dakhlam, which happens to be the southernmost district of Morocco, and is also considered the windiest district.
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