The central bank of Egypt is pondering over generating digital form of the Egyptian pound to minimize costs, according to a report by local English language news outlet Amwal Al Ghad on Dec. 16.
The sub-governor of your Central Bank of Egypt (CBE), Ayman Hussein commented at Abu Dhabi conference on Sunday that “feasibility studies” were currently ongoing.
Amwal Al Ghad notes that Egypt believes a blockchain-based digital sort of its fiat currency can help keep transaction issuance and charges to a minimum as compared with coins and banknotes, per various authorities in the vicinity.
The move is the one footstep in the journey to some cashless society. Amwal Al Ghad reported Hussein as proclaiming that a number of international institutions get excited about the studies, without disclosing names or specifying your house expected currency could well be traded between banks and clients as well as the currency might possibly be for banks only.
It is going to be noted that Egypt has traditionally taken an extremely risk-averse stance towards decentralized assets and cryptocurrencies along the lines of Bitcoin, stepping up its public rhetoric because the country’s first cryptocurrency and digital assets exchange launched in August 2019.
CBE reacted, during the time, saying there was no “legislation or law” in place “allowing” such activities to occur, as per the report on the Egypt Independent. The exchange, Bitcoin Egypt, would not want to be found online today before reporting.
Meanwhile, during the month of January in 2010, the country’s top cleric included on the anti-crypto stance, declaring Bitcoin trading forbidden in Islam. Notably, an industry expert subsequently told local daily Egypt Today that Bitcoin may be used directly to fund terrorists.
The Turkish government moreover warned across the incompatibility of Bitcoin trading and Islam. Moreover, a study from an Indonesian-based fintech startup figured the coin is “generally permissible” under Sharia law, within the month of April.