According to the Sudan News Agency (SUNA), the Central Bank of Sudan (CBOS) has warned nationals of the Northeast African country against dealing in any sort of cryptocurrency due to the considerable dangers involved. Financial crimes, electronic piracy, and the possibility of digital currencies losing their value are among the high risks mentioned by the apex bank. Cryptocurrencies pose legal dangers in the country, according to CBOS, because they are not defined as money or even private money under the Republic’s laws.
Furthermore, the currency lacks material cover and is not issued by authorized or accredited authorities that legally bind them, according to CBOS, which also identified a global trend of promoting currency trading on social media.
According to the Brookings Institution, Africa is the third-largest growing cryptocurrency market in the world and the fastest-growing among developing economies.
Kenya, South Africa, and Nigeria are also among the top ten nations in the world for cryptocurrency adoption, according to Chainalysis’ 2021 Global Crypto Adoption Index. However, not all African countries are accepting of cryptocurrencies. According to research from the Library of Congress in the United States, 23 of the 51 countries that have banned cryptocurrencies are African countries.
While four African countries, Algeria, Egypt, Morocco, and Tunisia, have enacted outright bans on cryptocurrency, 19 others, including Nigeria, Africa’s largest economy, have imposed implicit limitations.