The Kuwait Capital Markets Authority (CMA) has issued a circular on the supervision of the issuance of virtual assets. The document prohibits any transactions related to cryptocurrency.
The CMA prohibits the use of virtual assets as a means of investment, payment instrument or decentralized currency in the State of Kuwait.
Government entities are prohibited from issuing or granting any person or entity a license to provide virtual asset services. A similar ban applies to any activity related to cryptocurrency mining.
CMA official Ahmed Abdel Rahman Al Melhem explained that the reason for issuing the circular was the results of a study conducted by the National Committee for Combating Money Laundering and Terrorist Financing.
Earlier, the Central Bank of Kuwait issued a
a warning about the risks of investing in cryptocurrencies due to their high volatility and regulatory complexity.