Bahrain issues Bitcoin regulations

Tuesday 26 February 2019 00:34 CET | News

The central bank of Bahrain (CBB) has issued regulations for those who plan to engage in Bitcoin and other cryptocurrency-related activities.

Thus, the Middle East-based nation becomes the first in the region to provide official government backing for the emerging asset class. The new laws cover many aspects of the regulatory spectrum for cryptocurrency businesses, such as KYC/AML, capital controls, licensing, risk management, and more.

Moreover, the regulations also include compliance and enforcement standards for advisers, custodians, and other principal actors in the country’s cryptocurrency space. The CBB regulations contain rules designed to prevent market manipulation and conflict of interest, as well.

In addition, the CBB created a regulatory sandbox for crypto-focused companies, which functions as an incubator for exchanges and blockchain startups. This sandbox allows them to roll out their services to a limited clientele while regulators refine the necessary laws.

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Keywords: Bahrain, CBB, Bitcoin, regulations, cryptocurrency, Middle East, banks, government, laws, KYC, AML, risk management, blockchain, startups
Countries: World