Banks have always been on the wrong foot with cryptocurrencies. While some are just saying and warning users not to trade in crypto, one bank has gone a little too forward. Recently, the bank of Namibia has announced that they won’t entertain any crypto complaints from users. This was said in correlation to scams happening in the crypto sector. The bank made it clear that it doesn’t have the “legal power” to follow up on such complaints.
Crypto has its risks
Crypto might be one of the best investments right now. But it does have its own risks. One of the biggest problems is that due to its unregulated nature there are many scams going on. And many users who are new in the market are getting frauded due to the same. This is why banks are issuing notices to users to stay safe. And the worst part is that as the popularity and trading of crypto is increasing so are these scams.
Many African states like Namibia are the ones that have seen a steep increase in the trading of crypto in the last few months. We all know that since crypto is decentralized and any payments are not reversible. So banks don’t actually have any way to help users getting scammed. Most trading happening in the country is p2p due to the lack of any crypto exchnages.
Bank of Namibia is not against crypto
Even though they have been clear about the lack of power to help against scams in crypto. The bank is doing its own due diligence and research on cryptocurrencies. And they will continue to update their position on the same depending on what they find. Even though crypto is illegal in Namibia as of 2018, this is a pretty neutral stance against crypto. Therefore, no exchanges or organizations dealing in crypto can be present there.
What are your thoughts on the statement made by the Bank of Namibia on crypto recently? And do you think that what they said made sense? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.