Sri Lanka appoints committee to implement crypto mining and blockchain
Sri Lanka joins the worldwide crypto adoption drive after establishing a committee for exploring and implementing blockchain and crypto mining applied sciences.
A letter shared on Oct. 8 by Sri Lanka’s Director General of Government Information, Mohan Samaranayake, reveals that the authorities have authorized a current proposal that goals to draw investments within the nation’s blockchain and cryptocurrency initiatives.
According to Samaranayake, the Sri Lankan authorities have recognized the necessity of creating “an integrated system of digital banking, blockchain and cryptocurrency mining technology” as a method to remain on par with world companions and worldwide markets. He added:
“This committee will be mandated to study the regulations and initiatives of other countries such as Dubai, Malaysia, Philippines, EU and Singapore etc, and propose a suitable framework for Sri Lanka.”
The proposal was made by Namal Rajapaksa, Minister of Project Coordinating and Monitoring, which requires the committee to report its crypto and blockchain-related findings to the Cabinet of Acts, Rules and Regulations.
Out of the eight members within the committee, two members characterize worldwide fintech giants together with Mastercard’s Sandun Hapugoda and PricewaterhouseCoopers’ (PwC) Sujeewa Mudalige. Members from conventional finance embody Colombo Stock Exchange CEO Rajeeva Bandaranaike and the Central Bank of Sri Lanka Director Dharmasri Kumarathunge.
The remaining 4 members characterize numerous nationwide authorities together with Sri Lanka Computer Emergency Readiness Team (SLCERT), Department Of Government Information, Information and Communication Technology Agency (ICTA) and the President’s Council.
Supporting this initiative, the committee may even monitor legal guidelines and rules carried out by different nations to determine guidelines in opposition to Anti-Money Laundering (AML), terror financing and legal actions.
Related: Crypto transactions surge 706% in Asia as institutional adoption grows — Chainalysis
A current Cointelegraph report highlighted a 706% surge in Central and Southern Asia and Oceania between July 2020 and June 2021. Based on information shared by Chainalysis, the worth of the transactions within the area amounted to 14% ($572.5 billion), with India representing the best world transaction worth.
Back in April, Sri Lanka’s central financial institution issued a public discover in opposition to the dangers related to cryptocurrency investments, citing a scarcity of authorized or regulatory recourse. However, only a month after the discover, the central financial institution shortlisted three banks for creating a proof-of-concept for a shared Know Your Customer facility utilizing blockchain.