Moroccan Regulatory Authority May Issue Penalties For Cryptocurrency

On November 21, 2017, it was reported that the Moroccan regulatory authority, Office des Change, issued a statement on possible penalties relating to the use of cryptocurrency.

A translation of the document released by the Office des Changes reads, "The Office des Changes wishes to inform the general public that transactions via virtual currencies constitute an infringement of the exchange regulations, liable to penalties and fines provided for by texts in force."

Authorities also strongly encourage compliance with stipulations that say "financial transactions with foreign countries must be made via authorized intermediaries and with foreign currencies listed by Bank Al-Maghrib," Which is Morocco’s central bank.

The Office des Changes goes on to say, "This is a hidden payment system that is not backed by an organization and the use of virtual currencies entails significant risks for their users." It is perhaps a bid to provide investors a layer of protection in reaction to the high volatility of cryptocurrency markets.

As the document concludes, The Office des Changes said it has taken an interest in the evolution of cryptocurrencies, in conjunction with Bank Al-Maghrib and the Professional Group of Banks of Morocco; such being the case, this sentiment may set the stage for more progressive regulatory efforts in the future.