Banks urged to upgrade systems ahead of crypto law
Economic analyst Emmanuel Boateng has called on banks to proactively upgrade their compliance systems to facilitate smooth collaboration with crypto exchange platforms as the Bank of Ghana prepares to present the Digital Assets Law to Parliament.
He says the move is essential to leverage cryptocurrencies for enhanced remittances and financial inclusion in the economy.
Speaking on Business Breakfast on ZED, Mr. Boateng explained that the central bank’s recent recognition of cryptocurrencies follows a significant drop in traditional bank remittances while investments in stablecoins surged.
He noted that the use of these coins for cross-border transactions is a concern for central banks because it bypasses the formal financial system and raises risks of fraud, money laundering, and reputational damage.
“Remittances are a significant source of income in Ghana, often exceeding foreign investments. The shift to crypto channels makes it difficult for the central bank to track and manage foreign exchange inflows, leading to a loss of control over the economy,” Mr Boateng said.
He noted added that the new law will require crypto exchanges to register with the Bank of Ghana and comply with strict rules. The regulations are expected to reduce scams and improve security, though informal traders may face sanctions if they do not comply.
Mr Boateng emphasised that the impact of the proposed law will depend on how it is implemented. Clear rules can attract serious investment, making Ghana a hub for legitimate crypto businesses, while overly rigid or complex regulations could push innovators to countries like Kenya or Nigeria.
He urged banks and crypto exchanges to start upgrading their compliance systems immediately. The economic analyst recommended exploring partnerships to develop remittance services, payment solutions, and savings products.
“The future should be about banks collaborating with crypto platforms, not competing against them. This collaboration can help create a more seamless and rewarding financial system,” he added.
