The embassy has also emphasized the need for caution when dealing with digital assets, particularly projects promising quick wealth and significant profits. Chinese citizens have been reminded that cryptocurrencies are not recognized as legal tender, and therefore, no financial transactions should be conducted using them, warned the Chinese diplomatic mission.
This advisory from the embassy follows the recent implementation of a law in Angola that bans cryptocurrency mining. The country’s lawmakers began discussing the prohibition in August 2023 due to concerns over the high energy consumption associated with mining activities. As a criminal offense, mining cryptocurrencies in Angola can lead to severe penalties, including imprisonment for up to 12 years. Moreover, anyone found in possession of mining devices could face a maximum of five years in prison.
Otoniel Dos Santos, Angola’s Secretary of State for Finance, has justified the ban as a means of safeguarding the country’s monetary policy. He expressed concerns about the detrimental environmental impact of mining and its potential threats to the energy system. In a show of support, the Chinese Embassy confirmed that over the past year, Angola has already taken legal action against several Chinese nationals for engaging in illegal mining activities and unauthorized electricity consumption.
Interestingly, Paraguay also explored the idea of a 180-day ban on cryptocurrency mining not long ago, but rather than enforcing restrictions, legislators switched their focus to discussions about selling excess electricity to miners.