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 Data, Mohan Samaranayake, exhibits that the authorities have permitted a latest proposal that goals to draw investments within the nation’s blockchain and cryptocurrency initiatives.
In line with Samaranayake, the Sri Lankan authorities have recognized the necessity of creating “an built-in system of digital banking, blockchain and cryptocurrency mining know-how” as a method to remain on par with international companions and worldwide markets. He added:
“This committee can be mandated to review the laws and initiatives of different nations reminiscent of Dubai, Malaysia, Philippines, EU and Singapore and so on, and suggest an acceptable framework for Sri Lanka.”
The proposal was made by Namal Rajapaksa, Minister of Challenge Coordinating and Monitoring, which requires the committee to report its crypto and blockchain-related findings to the Cupboard of Acts, Guidelines and Laws.
Out of the eight members within the committee, two members characterize 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 characterize numerous nationwide authorities together with Sri Lanka Pc Emergency Readiness Staff (SLCERT), Division Of Authorities Data, Data and Communication Expertise Company (ICTA) and the President’s Council.
Supporting this initiative, the committee may also monitor legal guidelines and laws carried out by different nations to ascertain guidelines in opposition to Anti-Cash Laundering (AML), terror financing and prison 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 very 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 a scarcity of authorized or regulatory recourse. Nonetheless, only a month after the discover, the central financial institution shortlisted three banks for creating a proof-of-concept for a shared Know Your Customer facility using blockchain.