Governments urged to review legislative response to virtual currencies

The newly-formed Commonwealth Virtual Currencies Working Group concluded that virtual currencies have the potential to benefit countries and drive development.

After hearing from experts from the banking sector, academia, virtual currency operators, users and law enforcement agencies, the group issued a set of recommendations which urge countries to regulate virtual currencies and strengthen law enforcement to counter risks such as criminal misuse.

In addition, the group called for governments to provide education and funding for training for law enforcement, prosecutors, judges, regulatory authorities and the financial sector.

The Commonwealth Virtual Currencies Working Group is made up of Australia, Barbados, Kenya, Nigeria, Singapore and Tonga together with the International Monetary Fund and World Bank. The role of the group is to raise awareness, develop capacity among member states and provide technical guidance.