“The central bank has been alerted to the exercise of investment and market in virtual currency that is not regulated by any public authority,” said Alphonse Nyobewumusi, Head of the service in charge of microfinance at Burundi Central Bank in a press briefing held on September 3.
Alphonse Nyobewumusi: “Virtual currencies that are not regulated, issued or guaranteed by any government or central bank in the world do not have a legal court in Burundi.”
He explains that these virtual currencies are traded on online platforms around the world which are not regulated by any institution. “The value of these virtual currencies is volatile and therefore causes speculation and exposes their users to potential losses,” says Nyobewumusi adding that losers cannot have legal recourse in case these platforms are closed.
He recalls that people dealing in virtual currencies that are not regulated, issued or guaranteed by any government or central bank in the world cannot engage in legal procedures in the Burundian courts of justice.
He says that no financial institution is authorized to offer payment services using a virtual currency in Burundi. According to him, there exist more than 1,500 kinds of virtual currencies in the world. “Other countries in the East African Community have advised their citizens against using them,” he adds.
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