Authorities in Cambodia have announced that all domestic investors must obtain a license to purchase, sell or trade cryptocurrencies. Otherwise, such activity will be considered illegal
In a joint statement signed on March 11 and released on Tuesday, the National Bank of Cambodia (NBC), the Securities and Exchange Commission of Cambodia and the National Police Commissioners said the decision was made due to the sharp increase in cryptocurrency trading in the country.
The statement suggests that “such activities pose serious risks to the public and society at large.” According to the Cambodian government, the most significant of these risks are price volatility, cybercrime, and the lack of a mechanism to protect the rights of customers.
“As determined by the competent authorities, the distribution, circulation, acquisition, sale and trading of cryptocurrencies without a license will amount to illegal activities.”
The statement further states that investors who fail to obtain a license and continue to engage in cryptocurrency business will be “punished in accordance with applicable laws.”
This joint agency decision intensifies the government's crackdown on cryptocurrencies. According to the Phnom Penh Post, in December 2017, the National Bank of Cambodia banned national financial institutions from offering their services to cryptocurrency investors.
Since then, cryptocurrency projects, ICOs and digital asset trading have taken place in a “gray zone”, as until now regulators have been unable to develop a clear legal framework governing cryptocurrency trading.
According to https://www.coindesk.com
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