Kenya’s Central Bank Governor Admits He’s Pressured To invest In Bitcoin

During a meeting with lawmakers on September 19, Njoroge referred to the suggestion as “crazy”. Njoroge cited the volatility of Bitcoin as a reason why converting the reserves into digital currency would be dangerous. 

In addition, he brought up the possibility that cryptocurrencies’ benefactors will pressure politicians. According to him, that pressure will guide the legislative process advantageous for bitcoin usage. The governor said he would be prepared to go to prison for Bitcoin if the government approved it during his tenure. 

Njoroge expressed that he knows they (politicians) are under a lot of pressure from cryptocurrencies’ benefactors. He also made it clear that he has a lot of people urging him to place the nation’s reserve in Bitcoin. He added that he would have to be out of his mind to allow such an event. 

The Potentiality For Cryptocurrency Adoption

As Njoroge pointed out, the government may adopt cryptocurrencies if they begin to provide solutions to a particular problem. This is something that the government may do in the future. He has requested a review of the bitcoin business to move beyond the “hype” surrounding digital assets.

Njoroge further stressed what issue they purport to fix in the economy. He cited an example saying they don’t make superior conveyances for payments or transactions. He asked how much better they solve the issues, if at all. 

He clarified that there are no solutions to the issues he raised that the government could find in the bitcoin space. He said that cryptocurrency is not more secure than a traditional bank account. He suggested more investigation to determine whether or not it can assist them in resolving a problem.

There Are No Regulations In Place For The Crypto Industry

The Central Bank has warned the Kenyan people of Kenya about the dangers of transacting with cryptocurrencies. At this time, there are no comprehensive regulations in place to exercise control over the sector.

In this scenario, most of the institution’s communication has become circulars sent to local banks. The leaflets are centered on warnings to exercise extreme care when doing business with companies that deal in cryptocurrencies or other digital assets.

A recent estimate suggested that a record number of four million Kenyan crypto investors had suffered losses. The losses came as a result of the ongoing sell-off in the market for digital assets. This serves to underscore the gravity of the risks that are involved in the venture.

Leave a Reply

Your email address will not be published.

Related

Yields In the Eurozone Rise a Little as Attention Turns to ECB Minutes

Investors await the minutes from the European Central Bank meeting conducted in September. Seventy-five basis points were raised for each of the three primary interest rates set by the ECB. This took place at the specific policy meeting. Investors Await Clues on The Next Monetary Policy Tightening Additionally, the investors said that they expected future […]

After The Best First Quarter Since 1938, U.S. Stock Futures Fall

The Dow DJIA, +2.80%, increased by 825 points on Tuesday. The rise translates into a 2.8% gain. S&P 500 SPX, +3.06% had a 3.1% gain. A 3.3% increase was seen in the Nasdaq Composite COMP, +7.79%. Just What Is It That’s Propelling Markets Forward? Futures on stock indices have experienced some selling. A significant increase […]

The United States Government Has Called for Crypto Regulation

Experts and government officials have pinpointed the dangers that come with digital assets. U.S. authorities have warned that digital assets pose a security risk in a recent study. These dangers threaten the stability of the American financial system.  The Study Contends Unless “Proper Regulation” Is Put in Place On March 9, 2022, President Joe Biden […]

Possibility Of a Crypto and Financial Markets Collapse

The market may have seen the arrival of the black swan that nobody saw coming. Credit Suisse is a central global investment bank. There is a real possibility that the bank may collapse, which would lead to a catastrophic market meltdown.  The crypto and finance sectors triggered the conversations that led to this. What Is […]

A New Report Finds EU Sanctions Will Limit Russian Use of Europe’s Crypto Services

These events are occurring while the situation in Ukraine continues to worsen. Earlier this year, the EU restricted only “high-value” crypto-asset transactions to individuals and businesses in Russia. The current sanctions are likely to become more severe for the Russian Federation. EU Sanctions Over Ukraine May Target Russian Crypto Services The EU is getting ready […]