The popularity of Bitcoin as a digital asset continues to transcend time and space as it is widely used for transactions by individuals and business entities accepting its payment. This is not to forget its potential for moonshot, making crypto trading one of the best ways to make money online. However, as this coin is gaining traction across countries and regions, some countries have banned Bitcoin, while others are relaxing their strict stance on cryptocurrencies. So let’s examine the legality of Bitcoin in Ghana.
Licensing And Regulations
Cryptocurrency has faced challenges similar to the early days of social media, where innovation preceded regulation. The Bank of Ghana has acknowledged the existence of cryptocurrencies, and there have been discussions about establishing a regulatory framework in Ghana.
Therefore, it seems the country is about to lift its longstanding crypto ban with the unveiling of its inaugural draft guidelines for digital assets in August 2024. The proposed regulations followed an in-depth review of the crypto landscape to improve innovation in the financial market while considering inherent risks like crypto scams, consumer protection issues, money laundering and terrorism financing.
The Bank of Ghana indicated that the regulatory framework would enable Ghanaians to use popular crypto assets like Bitcoin and Ethereum. However, it clarified that banks and payment service providers remain banned from facilitating crypto asset transactions until the formal guidelines come into effect.
In addition, the regulations mandate that virtual asset service providers (VASPs) operating or intending to operate in Ghana apply for licensing from the Bank of Ghana or Ghana’s Securities and Exchange Commission (SEC). Therefore, any entity that fails to register by the specified deadline will be deemed illegal in the country.
The VASPs must perform customer due diligence and transaction monitoring. It also includes reporting suspicious transactions to the Federal Intelligence Centre (FCI), conducting detailed risk assessments, and implementing a risk-based approach to prevent financial crimes. Therefore, it is important to note that no agency has declared crypto exchange operations as illegal
Anti-Money Laundering (AML) And Know Your Customer (KYC)
Fighting money laundering and ensuring customer identification are key concerns in the crypto space. Crypto businesses in Ghana, including Prestmit, understand the importance of anti-money laundering and know-your-customer (KYC) compliance, which has been integrated into their platforms.
These regulations are compulsory, and crypto firms must adhere to them strictly. This means that every user’s details are verified to meet KYC requirements to ensure transparency and accountability.
Consumer Protection
Consumer protection is essential in the crypto space, similar to any financial service. As such, crypto firms in Ghana must ensure user protection, risk disclosure, data privacy, and platform security when allowing Ghanaian users to trade or make transactions on their platforms. These practices are crucial to building trust with users and not only regulatory obligations.
Cybersecurity measures are provided to secure applications, data protection measures are enforced, and informative notices are published to educate and inform users about potential risks.
How To Trade Bitcoin In Ghana
While Bitcoin is not a legal tender in Ghana, you can trade the asset in the country. If you are thinking of the best place to trade your Bitcoin, Prestmit is Ghana’s leading digital trading platform. This is owed to the innovative features such as a Bitcoin rate calculator, advanced security system, multiple payment options, fast payment, etc., that make your trade seamless and profitable on the platform.
How To Sell Bitcoin On Prestmit In Ghana
Here are the steps to sell your Bitcoin in Ghana:
- Visit the official Prestmit website or download the Prestmit app on the Google Play Store or Apple Store.
- Create a Prestmit account and log in.
- Click “Crypto” and choose “Sell Bitcoin.”
- Copy the Bitcoin wallet address or download the QR code.
- Follow the prompts to sell your Bitcoin.
- You will receive payment immediately after the successful confirmation of your transactions.
Frequently Asked Questions (FAQs) About Bitcoin Legality In Ghana
Is Bitcoin Legal In Ghana?
You can trade Bitcoin in Ghana under the provision of the newly drafted crypto regulations unveiled by the Bank of Ghana. But it is not a legal tender in the country.
Where Can I Sell Bitcoin In Ghana?
Prestmit is the best place to sell Bitcoin in Ghana. This platform provides you with features like sophisticated security, fast payment, responsive customer support, and the best rates to make your trade safe and profitable.
Is Trading Bitcoin Safe In Ghana?
It is safe to trade Bitcoin in Ghana if you use a credible and reliable platform like Prestmit, which has served Ghanaian crypto users over the years.
Conclusion
We can not overemphasize the need to trade Bitcoin where its trade its legal. This protects you from losing money and facing the wrath of the law that prohibits such transactions. So, it can be inferred that Ghana does not outright ban crypto with the recent draft of digital asset regulations.
However, you must ensure that the exchange or trading platform you use is duly registered with the Bank of Ghana or Ghana’s SEC before making transactions.
