Ghana's central bank is targeting December 2025 to implement cryptocurrency regulations, marking a significant step towards bringing clarity and stability to the country's rapidly growing digital asset market. This initiative, spearheaded by the Bank of Ghana (BoG), aims to strike a balance between consumer protection and fostering financial innovation within the cryptocurrency space.
The move to regulate cryptocurrencies comes as digital asset activity continues to surge in Ghana. Crypto transactions in Ghana reached US$3 billion in the 12 months leading up to June 2024, reflecting a broader trend of increasing digital asset investments across sub-Saharan Africa. Approximately 17.3% of Ghanaian adults, around 3 million people, own digital assets.
Governor of the Bank of Ghana, Johnson Asiama, announced the ambitious timeline at the International Monetary Fund's (IMF) meetings in Washington on Thursday. He stated that the regulatory framework has been developed, and a new bill to regulate virtual assets is on its way to parliament, with hopes of approval before the end of the year. The proposed Virtual Asset Providers Act aims to empower oversight of virtual asset platforms.
The Governor emphasized the importance of strengthening the supervision and monitoring of cryptocurrency transactions. To support these regulatory efforts, Ghana is establishing a new department and developing expertise within the central bank. This dedicated unit will be crucial for the effective supervision and regulation of digital assets.
Previously, the BoG had set a deadline of September 2025 for cryptocurrency regulation, which it was unable to meet. In August 2024, the bank issued draft regulatory guidelines and sought public feedback. The current initiative builds upon these earlier efforts, reflecting a growing recognition of the need to address the expanding digital asset market.
The central bank had initially adopted a cautious stance toward cryptocurrencies, cautioning the public that they are not legal tender and advising the use of money backed by the central bank. However, the increasing use of crypto in the country has made it impossible to ignore, necessitating the move to regulate and monitor these transactions.
The new legislation will enable Ghana to license crypto platforms and collect financial data, which is currently missing from national accounts. This will enhance transparency and accountability in the digital assets market and improve monetary policy management.
Ghana's move aligns with a rising trend in Africa towards establishing defined regulations for cryptocurrency activities. Several other African countries, including South Africa, Nigeria, and Kenya, have already published guidelines on the usage, acquisition, and exchange of cryptocurrencies.
