Public Notice by CBK on Virtual Currencies
How many countries have chartered a path for this type of currency? May be most have adopted a wait and see stance on this one. Also it would be good to see if any institution or business in Kenya accepts Bitcoin as payment for goods/services.
Message: 1 Date: Tue, 15 Dec 2015 12:32:29 +0300 From: Nanjira Sambuli < [email protected]> To: [email protected] Subject: Re: [kictanet] kictanet Digest, Vol 103, Issue 87 Message-ID: <[email protected]> Content-Type: text/plain; charset="utf-8"
Though CBK hasn?t said virtual currency is illegal; said it?s not legal tender, and essentially that they can?t be expected to step in. Maybe not a bad thing?
On 15 Dec 2015, at 12:00, [email protected] wrote:
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Today's Topics:
1. Re: Public Notice by CBK on Virtual Currencies (Ali Hussein)
----------------------------------------------------------------------
Message: 1 Date: Tue, 15 Dec 2015 11:49:30 +0300 From: Ali Hussein <[email protected]> To: KICTAnet ICT Policy Discussions <[email protected]> Subject: Re: [kictanet] Public Notice by CBK on Virtual Currencies Message-ID: <[email protected]> Content-Type: text/plain; charset="utf-8"
Waithaka
I concur with you. 150%
Regulators the world over need to get on with the Program. Virtual Currencies are here to stay. Instead of fighting them and driving them underground find a way to work with the new dispensation.
This is a fight the CBK will NEVER win. That you can take to the Bank. (Pun intended).
Thanks & Regards
Ali Hussein [email protected]
+254 713 601113 Twitter: @AliHKassim Skype: Abu-Jomo LinkedIn: http//ke.linkedin.com/in/alihkassim Blog: www.alyhussein.com
On Dec 15, 2015, at 11:07 AM, Ngigi Waithaka via kictanet < [email protected]> wrote:
Very dicey...
Let's see... What is MPesa? It's a Virtual Currency that has a 1:1 Mapping with the Kenya Shilling. That's why when I send you MPesa, you don't receive a legal tender, but you know you can convert it to KES at a rate of 1:1 minus the small charges.
What is Paypal? a Virtual Currency that has a 1:1 mapping with say USD
What is BitCoin? A Virtual Currency that has a *fluctuating* mapping with other currencies e.g 1:130 with USD.
If I take the risk that BitCoin might fluctuate, a risk we also take when we get paid in USD / Euros etc when in Kenya, why should it be illegal?
Its just a Virtual Currency, one of many....
Regards
On Tue, Dec 15, 2015 at 10:00 AM, Josiah Mugambi via kictanet < [email protected] <mailto:[email protected]>> wrote: CBK has taken a stand:
https://www.centralbank.go.ke/index.php/news/464-public-on-virtual-currencie... < https://www.centralbank.go.ke/index.php/news/464-public-on-virtual-currencie...
Extract:
++++
The attention of the Central Bank of Kenya (CBK) has been drawn to
on the use, holding and trading of virtual currencies such as Bitcoin in Kenya. Bitcoin is a form of un-regulated digital currency that is not issued or guaranteed by any government or central bank. Domestic and international money
services in Kenya are regulated by the Central Bank of Kenya Act and other legislation. In this regard, no entity is currently licensed to offer money remittance services and products in Kenya using virtual currency such as Bitcoin.
This is to inform the public that virtual currencies such as Bitcoin are not legal tender in Kenya and therefore no protection exists in the event that
media reports transfer the platform that
exchanges or holds the virtual currency fails or goes out of business. Some of the risks associated with buying, holding or trading virtual currencies include the following: ? Transactions in virtual currencies such as bitcoin are largely untraceable and anonymous making them susceptible to abuse by criminals in money laundering and financing of terrorism. ? Virtual currencies are traded in exchange platforms that tend to be unregulated all over the world. Consumers may therefore lose their money without having any legal redress in the event these exchanges collapse or close business. ? There is no underlying or backing of assets and the value of virtual currencies is speculative in nature. This may result in high volatility in value of virtual currencies thus exposing users to potential losses.
CBK reiterates that Bitcoin and similar products are not legal tender nor are they regulated in Kenya. The public should therefore desist from transacting in Bitcoin and similar products. ++++
-- Josiah Mugambi
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The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
-- Regards,
Waithaka Ngigi Chief Executive Officer | Alliance Technologies | MCK Nairobi Synod Building T +254 20 525 0750 |Office Mobile: +254 716 201061 | M +254 737 811 000 <> www.at.co.ke <http://www.at.co.ke/> _______________________________________________ kictanet mailing list [email protected] https://lists.kictanet.or.ke/mailman/listinfo/kictanet
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
Bitcoin as a commodity then? http://www.coindesk.com/bitcoin-as-a-commodity-what-the-cftcs-ruling-means/
Gideon, Imagine if we had waited to see Mpesa become a reality elsewhere before we could get started. Imagine if the Swiss had waited for regulation 300 years ago before they started allowing anyone to open a numbered account (against the then accepted business practice) which had no link to owner, would they have been a banking giant today? There was a time GoK was running around clamping down on anyone using the Internet to make International calls; reason? It couldn't regulate it. There was a time you had to send registered documents on a postal address. I just saw about a month a go, Posta is starting registered emails. I can bet that 10 years from now, there will those who will be saying there was a time that you had to pay for everything in traditional currencies when Bitcoin maybe is 60% of all the transactions. If you look at the history of technology, innovation always gets ahead of regulation. We kickstarted mobile money payments on a large scale and I think we ought to think this BitCoin through and see what we could benefit from it. Maybe the future MasterCards & Visa's in Bitcoin would come from .KE. Maybe the next 'Swiss' in Banking would be in .KE. The horse has already left the stable and all we are trying to do is close the stable. Let's look for the horse and tame it. Rgds On Tue, Dec 15, 2015 at 1:21 PM, Gideon via kictanet < [email protected]> wrote:
How many countries have chartered a path for this type of currency?
May be most have adopted a wait and see stance on this one.
Also it would be good to see if any institution or business in Kenya accepts Bitcoin as payment for goods/services.
Message: 1 Date: Tue, 15 Dec 2015 12:32:29 +0300 From: Nanjira Sambuli < [email protected]> To: [email protected] Subject: Re: [kictanet] kictanet Digest, Vol 103, Issue 87 Message-ID: <[email protected]> Content-Type: text/plain; charset="utf-8"
Though CBK hasn?t said virtual currency is illegal; said it?s not legal tender, and essentially that they can?t be expected to step in. Maybe not a bad thing?
On 15 Dec 2015, at 12:00, [email protected] wrote:
Send kictanet mailing list submissions to [email protected]
To subscribe or unsubscribe via the World Wide Web, visit https://lists.kictanet.or.ke/mailman/listinfo/kictanet or, via email, send a message with subject or body 'help' to [email protected]
You can reach the person managing the list at [email protected]
When replying, please edit your Subject line so it is more specific than "Re: Contents of kictanet digest..."
Today's Topics:
1. Re: Public Notice by CBK on Virtual Currencies (Ali Hussein)
----------------------------------------------------------------------
Message: 1 Date: Tue, 15 Dec 2015 11:49:30 +0300 From: Ali Hussein <[email protected]> To: KICTAnet ICT Policy Discussions <[email protected]> Subject: Re: [kictanet] Public Notice by CBK on Virtual Currencies Message-ID: <[email protected]> Content-Type: text/plain; charset="utf-8"
Waithaka
I concur with you. 150%
Regulators the world over need to get on with the Program. Virtual Currencies are here to stay. Instead of fighting them and driving them underground find a way to work with the new dispensation.
This is a fight the CBK will NEVER win. That you can take to the Bank. (Pun intended).
Thanks & Regards
Ali Hussein [email protected]
+254 713 601113 Twitter: @AliHKassim Skype: Abu-Jomo LinkedIn: http//ke.linkedin.com/in/alihkassim Blog: www.alyhussein.com
On Dec 15, 2015, at 11:07 AM, Ngigi Waithaka via kictanet < [email protected]> wrote:
Very dicey...
Let's see... What is MPesa? It's a Virtual Currency that has a 1:1 Mapping with the Kenya Shilling. That's why when I send you MPesa, you don't receive a legal tender, but you know you can convert it to KES at a rate of 1:1 minus the small charges.
What is Paypal? a Virtual Currency that has a 1:1 mapping with say USD
What is BitCoin? A Virtual Currency that has a *fluctuating* mapping with other currencies e.g 1:130 with USD.
If I take the risk that BitCoin might fluctuate, a risk we also take when we get paid in USD / Euros etc when in Kenya, why should it be illegal?
Its just a Virtual Currency, one of many....
Regards
On Tue, Dec 15, 2015 at 10:00 AM, Josiah Mugambi via kictanet < [email protected] <mailto:[email protected]>> wrote: CBK has taken a stand:
https://www.centralbank.go.ke/index.php/news/464-public-on-virtual-currencie... < https://www.centralbank.go.ke/index.php/news/464-public-on-virtual-currencie...
Extract:
++++
The attention of the Central Bank of Kenya (CBK) has been drawn to
on the use, holding and trading of virtual currencies such as Bitcoin in Kenya. Bitcoin is a form of un-regulated digital currency that is not issued or guaranteed by any government or central bank. Domestic and international money
services in Kenya are regulated by the Central Bank of Kenya Act and other legislation. In this regard, no entity is currently licensed to offer money remittance services and products in Kenya using virtual currency such as Bitcoin.
This is to inform the public that virtual currencies such as Bitcoin are not legal tender in Kenya and therefore no protection exists in the event that
exchanges or holds the virtual currency fails or goes out of business. Some of the risks associated with buying, holding or trading virtual currencies include the following: ? Transactions in virtual currencies such as bitcoin are largely untraceable and anonymous making them susceptible to abuse by criminals in money laundering and financing of terrorism. ? Virtual currencies are traded in exchange platforms that tend to be unregulated all over the world. Consumers may therefore lose their money without having any legal redress in the event these exchanges collapse or close business. ? There is no underlying or backing of assets and the value of virtual currencies is speculative in nature. This may result in high volatility in value of virtual currencies thus exposing users to potential losses.
CBK reiterates that Bitcoin and similar products are not legal tender nor are they regulated in Kenya. The public should therefore desist from
and similar products. ++++
-- Josiah Mugambi
_______________________________________________ kictanet mailing list [email protected] <mailto:[email protected]> https://lists.kictanet.or.ke/mailman/listinfo/kictanet < https://lists.kictanet.or.ke/mailman/listinfo/kictanet>
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/ngigi%40at.co.ke < https://lists.kictanet.or.ke/mailman/options/kictanet/ngigi%40at.co.ke>
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder
media reports transfer the platform that transacting in Bitcoin platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors
online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
-- Regards,
Waithaka Ngigi Chief Executive Officer | Alliance Technologies | MCK Nairobi Synod
T +254 20 525 0750 |Office Mobile: +254 716 201061 | M +254 737 811 000 <> www.at.co.ke <http://www.at.co.ke/> _______________________________________________ kictanet mailing list [email protected] https://lists.kictanet.or.ke/mailman/listinfo/kictanet
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder
Building platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors
online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
Gideon, Here's a list of various countries and their regulations regarding Cryptocurencies, of which Bitcoin is one. https://en.wikipedia.org/wiki/Legality_of_bitcoin_by_country As you can see it ranges from full bans to general acceptability with countries taxing Bitcoin Transactions, Bitcoin ATMs etc Rgds On Tue, Dec 15, 2015 at 1:21 PM, Gideon via kictanet < [email protected]> wrote:
How many countries have chartered a path for this type of currency?
May be most have adopted a wait and see stance on this one.
Also it would be good to see if any institution or business in Kenya accepts Bitcoin as payment for goods/services.
Message: 1 Date: Tue, 15 Dec 2015 12:32:29 +0300 From: Nanjira Sambuli < [email protected]> To: [email protected] Subject: Re: [kictanet] kictanet Digest, Vol 103, Issue 87 Message-ID: <[email protected]> Content-Type: text/plain; charset="utf-8"
Though CBK hasn?t said virtual currency is illegal; said it?s not legal tender, and essentially that they can?t be expected to step in. Maybe not a bad thing?
On 15 Dec 2015, at 12:00, [email protected] wrote:
Send kictanet mailing list submissions to [email protected]
To subscribe or unsubscribe via the World Wide Web, visit https://lists.kictanet.or.ke/mailman/listinfo/kictanet or, via email, send a message with subject or body 'help' to [email protected]
You can reach the person managing the list at [email protected]
When replying, please edit your Subject line so it is more specific than "Re: Contents of kictanet digest..."
Today's Topics:
1. Re: Public Notice by CBK on Virtual Currencies (Ali Hussein)
----------------------------------------------------------------------
Message: 1 Date: Tue, 15 Dec 2015 11:49:30 +0300 From: Ali Hussein <[email protected]> To: KICTAnet ICT Policy Discussions <[email protected]> Subject: Re: [kictanet] Public Notice by CBK on Virtual Currencies Message-ID: <[email protected]> Content-Type: text/plain; charset="utf-8"
Waithaka
I concur with you. 150%
Regulators the world over need to get on with the Program. Virtual Currencies are here to stay. Instead of fighting them and driving them underground find a way to work with the new dispensation.
This is a fight the CBK will NEVER win. That you can take to the Bank. (Pun intended).
Thanks & Regards
Ali Hussein [email protected]
+254 713 601113 Twitter: @AliHKassim Skype: Abu-Jomo LinkedIn: http//ke.linkedin.com/in/alihkassim Blog: www.alyhussein.com
On Dec 15, 2015, at 11:07 AM, Ngigi Waithaka via kictanet < [email protected]> wrote:
Very dicey...
Let's see... What is MPesa? It's a Virtual Currency that has a 1:1 Mapping with the Kenya Shilling. That's why when I send you MPesa, you don't receive a legal tender, but you know you can convert it to KES at a rate of 1:1 minus the small charges.
What is Paypal? a Virtual Currency that has a 1:1 mapping with say USD
What is BitCoin? A Virtual Currency that has a *fluctuating* mapping with other currencies e.g 1:130 with USD.
If I take the risk that BitCoin might fluctuate, a risk we also take when we get paid in USD / Euros etc when in Kenya, why should it be illegal?
Its just a Virtual Currency, one of many....
Regards
On Tue, Dec 15, 2015 at 10:00 AM, Josiah Mugambi via kictanet < [email protected] <mailto:[email protected]>> wrote: CBK has taken a stand:
https://www.centralbank.go.ke/index.php/news/464-public-on-virtual-currencie... < https://www.centralbank.go.ke/index.php/news/464-public-on-virtual-currencie...
Extract:
++++
The attention of the Central Bank of Kenya (CBK) has been drawn to
on the use, holding and trading of virtual currencies such as Bitcoin in Kenya. Bitcoin is a form of un-regulated digital currency that is not issued or guaranteed by any government or central bank. Domestic and international money
services in Kenya are regulated by the Central Bank of Kenya Act and other legislation. In this regard, no entity is currently licensed to offer money remittance services and products in Kenya using virtual currency such as Bitcoin.
This is to inform the public that virtual currencies such as Bitcoin are not legal tender in Kenya and therefore no protection exists in the event that
exchanges or holds the virtual currency fails or goes out of business. Some of the risks associated with buying, holding or trading virtual currencies include the following: ? Transactions in virtual currencies such as bitcoin are largely untraceable and anonymous making them susceptible to abuse by criminals in money laundering and financing of terrorism. ? Virtual currencies are traded in exchange platforms that tend to be unregulated all over the world. Consumers may therefore lose their money without having any legal redress in the event these exchanges collapse or close business. ? There is no underlying or backing of assets and the value of virtual currencies is speculative in nature. This may result in high volatility in value of virtual currencies thus exposing users to potential losses.
CBK reiterates that Bitcoin and similar products are not legal tender nor are they regulated in Kenya. The public should therefore desist from
and similar products. ++++
-- Josiah Mugambi
_______________________________________________ kictanet mailing list [email protected] <mailto:[email protected]> https://lists.kictanet.or.ke/mailman/listinfo/kictanet < https://lists.kictanet.or.ke/mailman/listinfo/kictanet>
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/ngigi%40at.co.ke < https://lists.kictanet.or.ke/mailman/options/kictanet/ngigi%40at.co.ke>
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder
media reports transfer the platform that transacting in Bitcoin platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors
online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
-- Regards,
Waithaka Ngigi Chief Executive Officer | Alliance Technologies | MCK Nairobi Synod
T +254 20 525 0750 |Office Mobile: +254 716 201061 | M +254 737 811 000 <> www.at.co.ke <http://www.at.co.ke/> _______________________________________________ kictanet mailing list [email protected] https://lists.kictanet.or.ke/mailman/listinfo/kictanet
Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com
The Kenya ICT Action Network (KICTANet) is a multi-stakeholder
Building platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.
KICTANetiquette : Adhere to the same standards of acceptable behaviors
online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.
participants (3)
-
Gideon -
Josiah Mugambi -
Ngigi Waithaka