The Central Bank of Liberia Warns against Cryptocurrency, Says it is illegal.
Amid the fast growth and global adoption of cryptocurrency, the financial regulators in Liberia have taken a stand on cryptocurrency by issuing a public notice to a local company, The Abundance Community Coin (TACC) to desist from promoting its digital asset product saying it is not only illegal, but also ‘intended to undermine the country’s financial system.
The Central Bank of Liberia (CBL) issued a warning to The Abundance Community Coin (TACC) to desist from launching its cryptocurrency in Liberia. This warning was made after CBL attention was drawn to the publication made by The Abundance Community Coin (TACC) in the May 6, 2021 edition of the FrontPage Africa newspaper, captioned “First Digital Asset Company to be Launched in Liberia”. The Abundance Community Coin (TACC) was set to launch on May 14, 2021
In a statement made by The Central Bank of Liberia (CBL), its clarifies that at no time has the Bank approved any license for the above-mentioned company to transact ANY financial business in Liberia, in accordance with Section 3 (1) of the New Financial Institutions Act of Liberia. The CBL views the attempt by TACC to introduce a digital financial product in Liberia without adherence to the required regulation as illegal
In view of the foregoing, TACC is hereby warned and directed to immediately halt all publicity on the launch of the product and desist from carrying out any financial activity. Any attempt to proceed on the contrary, the CBL will have no other alternative but to pursue legal recourse in accordance with the law
However, the CBL reassures the general public about safeguarding the financial system against any financial action counterproductive to the operation of the system and urges members of the public to be watchful when dealing with financial institutions as well as exercise caution in transacting with illegal financial institution.