Sri Lanka joins the worldwide crypto adoption drive after establishing a committee for exploring and implementing blockchain and crypto mining applied sciences.
A letter shared on Oct. 8 by Sri Lanka’s Director Common of Authorities Info, Mohan Samaranayake, exhibits that the authorities have accredited a latest proposal that goals to draw investments within the nation’s blockchain and cryptocurrency initiatives.
Based on Samaranayake, the Sri Lankan authorities have recognized the necessity of growing “an built-in system of digital banking, blockchain and cryptocurrency mining expertise” as a method to remain on par with international companions and worldwide markets. He added:
“This committee shall be mandated to review the rules and initiatives of different international locations resembling Dubai, Malaysia, Philippines, EU and Singapore and many others, and suggest an appropriate framework for Sri Lanka.”
The proposal was made by Namal Rajapaksa, Minister of Venture Coordinating and Monitoring, which requires the committee to report its crypto and blockchain-related findings to the Cupboard of Acts, Guidelines and Rules.
Out of the eight members within the committee, two members signify worldwide fintech giants together with Mastercard’s Sandun Hapugoda and PricewaterhouseCoopers’ (PwC) Sujeewa Mudalige. Members from conventional finance embody Colombo Inventory Change CEO Rajeeva Bandaranaike and the Central Financial institution of Sri Lanka Director Dharmasri Kumarathunge.
The remaining 4 members signify varied nationwide authorities together with Sri Lanka Pc Emergency Readiness Group (SLCERT), Division Of Authorities Info, Info and Communication Expertise Company (ICTA) and the President’s Council.
Supporting this initiative, the committee will even monitor legal guidelines and rules carried out by different nations to determine guidelines in opposition to Anti-Cash Laundering (AML), terror financing and legal actions.
A latest Cointelegraph report highlighted a 706% surge in Central and Southern Asia and Oceania between July 2020 and June 2021. Primarily based on information shared by Chainalysis, the worth of the transactions within the area amounted to 14% ($572.5 billion), with India representing the best international transaction worth.
Again in April, Sri Lanka’s central financial institution issued a public notice against the risks associated with cryptocurrency investments, citing an absence of authorized or regulatory recourse. Nonetheless, only a month after the discover, the central financial institution shortlisted three banks for growing a proof-of-concept for a shared Know Your Customer facility using blockchain.