Sudan Central Bank warned its citizens not to use any type of cryptocurrency
Cryptocurrency is not classified as money in Sudan
Sudan has seen a minor increase in cryptocurrency investment. However, according to SUNA, Sudan Central Bank stated that digital currencies are not classified as money, private money, or property under the country’s legislation and regulations.
Cryptocurrencies, according to the regulator, lack material cover because they are not issued by authorized parties that are legally obligated by them.
The Human Rights Foundation’s Chief Strategy Officer, Alex Gladstein, stated that the authorities may be considering an official ban.
He also stated that the central bank’s warning against civilian use of Bitcoin and cryptocurrencies is in response to rising adoption in the country, which is occurring at a time when the country’s inflation rate is approaching 400 percent.
Inflation has risen as a result of the military coup
Since a military coup deposed the government, the North African country’s economy has suffered a dramatic fall.
In February, the country’s inflation rate increased by 260 percent, down from a high of 360 percent in 2021.
According to Bloomberg, the value of the Sudanese pound fell by 15% in March.
Cryptocurrency usage is increasing over the world. It has, however, had several halt boards due to a number of geopolitical difficulties.
Sudan’s economy has been impacted by the collapse of civilian governance in the country, just as the Russian invasion of Ukraine impacted both traditional and crypto markets.