Morocco is taking significant steps toward regulating cryptocurrency, marking a potential shift from its long-standing ban on digital assets.
Earlier today, on 26th November, Speaking at an international conference in Rabat, Abdellatif Jouahri, the governor of Bank Al Maghrib (Morocco’s central bank), announced that a draft law focused on regulating crypto assets is currently in the adoption phase, Reuters reported.
Draft Law Aims to Regulate Crypto Assets
Cryptocurrencies have been banned in Morocco since 2017, yet they remain widely used through underground networks as people circumvent restrictions.
Recognizing the growing interest and demand for digital assets, Moroccan authorities appear ready to provide a structured framework for cryptocurrency use within the country.
The proposed draft law seeks to establish clear regulations for the use of cryptocurrency. While details of the legislation are yet to be disclosed, it aims to bring underground activities into a regulated environment, providing legal clarity and ensuring consumer protection.
The move reflects Morocco’s intention to modernize its financial system and align with the global trend of integrating cryptocurrencies into formal economies.
Jouahri emphasized that this law will address the complexities and risks associated with crypto assets. By formalizing the sector, the government hopes to prevent misuse, such as money laundering and fraud, while enabling legitimate economic opportunities.
Exploring a Central Bank Digital Currency
In addition to drafting cryptocurrency legislation, Morocco is actively exploring the potential benefits of a central bank digital currency (CBDC). Unlike cryptocurrencies, which are typically decentralized, a CBDC is centrally controlled by the government.
“Like many countries around the world, we are exploring to what extent this new form of currency could contribute to achieving certain public policy objectives, particularly in terms of financial inclusion,” said Jouahri.
A Moroccan CBDC could provide a secure, government-backed digital alternative to traditional currencies, enhancing payment systems and expanding access to financial services for underbanked populations. This aligns with the central bank’s broader goal of leveraging digital innovation to modernize the nation’s financial landscape.
Morocco’s efforts to draft crypto regulations and explore a CBDC underscore its willingness to embrace financial innovation while maintaining oversight. As the nation moves closer to adopting a legal framework for cryptocurrencies, it could become a pioneer in the region for balancing innovation with regulation.
This shift marks a pivotal moment in Morocco’s financial journey, potentially opening doors for wider adoption of digital assets and new economic opportunities.