Morocco's Shift Towards Cryptocurrency Regulation
On November 20, 2017, Morocco declared that dealing in digital currencies was illegal, citing concerns over the risks associated with virtual money. However, recent developments indicate a significant policy shift as Bank Al-Maghrib's Governor, Abdellatif Jouahri, announced on December 18, 2024, that Morocco is set to become one of the first countries globally to license cryptocurrencies. This move aims to establish a legal framework that will regulate cryptocurrency transactions, providing clarity for users and investors.
New Legal Framework and International Collaboration
During a press conference in Rabat, Jouahri stated that the draft law regulating cryptocurrency dealings is now ready. The new legal framework has been developed with technical assistance from the World Bank and the International Monetary Fund, aligning with G20 recommendations to enhance data transparency regarding crypto assets. Jouahri emphasized that while the country will allow some flexibility in accessing cryptocurrencies, it will also implement strict measures to mitigate risks associated with money laundering and other illicit activities.
Economic Concerns and Market Context
Morocco's cautious approach stems from fears that virtual currencies could negatively impact its economy, particularly concerning the outflow of foreign currency. The announcement comes at a time when Bitcoin prices have surged, recently hitting a record high of $106,500, partly fueled by political support in the United States. As cryptocurrencies operate outside traditional banking systems, their regulation remains a pressing issue for many nations, including Morocco.
