The cryptocurrency caught promotion in Afghanistan last year when the state economy was in trouble when the Taliban took over Afghanistan in May 2021. After the Taliban came to power, the U.S. imposed sanctions, which western authorities halted billions of assets, making it difficult to buy crypto. Your country.
But after things varied and the country’s central bank banned the use of cryptocurrencies three months ago, state police launched a crackdown on crypto services platforms and businesses, forcing them to cease crypto-related operations.
In line with the country’s regional media outlet, Aryan News, security forces closed 16 crypto exchanges in Afghanistan’s western province of Herat last week and arrested their employees. Not only that, the police stopped local crypto businesses and stores as the use of digital assets was declared illegal and defrauded the nation. Sayed Shah Sa’adat, head of the crime-fighting unit of Herat police, added;
“The Bank of Da Afghanistan (central bank) stated in a letter that digital currency trading causes many problems and defrauds people, so they should be shut down. We took action, arrested all the heat exchangers doing business, and closed their shops,” he said.
Still, the names of the fascinating crypto exchanges remain unknown.
In line with the report, Ghulam Mohammad Sohrabi, head of the Association of Money Exchanges in the country, also made negative statements about the use of crypto and added;
“Digital currency accounts are bought abroad and from companies. Our people are not acquainted with it, so it is better not to use it. This currency is new to the market and has high volatility. [rates]”
Afghans Want Government To Regulate Cryptocurrency
According to a June 28 Bloomberg report, the Central Bank of Afghanistan has banned online currency trading search as “illegal and fraudulent, and there is no instruction in Islamic law to approve it.”
The Afghan media outlet also featured the opinion of an expert in the news, saying that cryptos are still unique to people and “therefore, the function should be monitored by the government so that there are no scams and people can make better investments.”
Although interest in cryptocurrencies has increased in the region, U.S. sanctions have made it difficult for Afghans to buy cryptocurrencies. The Taliban took over Afghanistan, smashed the economy, platforms like banks failed to bring in foreign ads and people were left without money. Cryptocurrencies emerged as a resource for Afghans. surviving is in a state of panic.
According to the Global Crypto Adoption Index report by blockchain research firm Chainalysis in 2021, growing crypto interest joined Afghanistan in the top 20 countries, quickly adopting the digital currency just before the Taliban took over. Likewise, google’s data also represented an expansion in searches for Bitcoin and Crypto.