Ghana: Bank of Ghana Introduces Draft Regulations for Cryptocurrency Exchanges

The Bank of Ghana (BoG) has unveiled draft regulatory guidelines for digital assets, signaling a new phase of oversight following a thorough internal review of Bitcoin (BTC), Tether (USDT), and other cryptocurrencies.

On August 16, the central bank released these draft guidelines, seeking input from the public and industry stakeholders on the proposed regulations. This initiative comes in response to a significant increase in Ghana’s interest in cryptocurrencies, as evidenced by data collected over the past three years.

The Bank of Ghana’s proposed regulations are aimed at addressing key risks associated with digital assets, including money laundering, terrorism financing, fraud, and the need for enhanced consumer protection.

Eight-Pillar Framework for Crypto Regulation

The central bank’s draft proposes an eight-pillar framework that intensifies the registration and reporting requirements for cryptocurrency exchanges, also known as virtual asset service providers (VASPs).

If these regulations are enacted, crypto exchanges will be required to closely monitor and report suspicious transactions, in line with the Financial Action Task Force’s (FATF) Travel Rule. The BoG also plans to collaborate with external stakeholders, such as commercial banks and offshore regulators, to strengthen the regulatory environment.

“The Bank would collaborate with the Securities and Exchange Commission (SEC) to develop distinct and complementary regulatory frameworks that cover various applications or use cases of digital assets,” the BoG stated.

Public Feedback to Shape Final Crypto Laws

Under the draft guidelines, exchanges must register with the BoG and undergo sandbox testing before they can offer trading services in Ghana. The central bank is currently seeking recommendations from industry experts, stakeholders, and the public, with feedback open until August 31.

“The bank will consider these inputs in determining the next steps forward,” the draft proposal noted.

Related Developments in Ghana’s Crypto Ecosystem

In a related development, Ghana Post, the national postal service, launched a crypto stamp collection in May to commemorate the 25th coronation anniversary of His Majesty Otumfuo Osei Tutu II. The collection, titled “Crypto Stamp,” honors the King’s contributions to Ghana’s development and cultural heritage.

Limited to 7,200 pieces, these crypto stamps are priced at 250 Ghanaian cedi (approximately $18) per stamp.

Ghana’s introduction of both regulatory frameworks and cultural projects like the crypto stamp collection highlights the country’s evolving stance on digital assets as it seeks to balance innovation with consumer protection and regulatory oversight.