BoG urges digital asset businesses to build compliance into operations at Digital Assets Summit Africa

The Bank of Ghana (BoG) is urging digital asset businesses to make regulatory compliance an integral part of their operations from the outset, rather than waiting for regulators to intervene.

Head of Fintech and Innovation at the Bank of Ghana, Elhanan Owureku Asare, who spoke on behalf of the Governor at the second edition of the Digital Assets Summit Africa, said businesses must prioritise transparency, responsible marketing and the protection of customers’ assets.

He said the rapid development of digital assets presents regulatory and consumer protection questions that require close collaboration between industry players and regulators.

“Digital assets are prompting many of the same questions that emerged when digital payments first began expanding rapidly. Could regulators keep pace? Would consumers be adequately protected? How would risk be managed?”

Mr Asare said businesses must therefore take responsibility for ensuring that their operations meet the required regulatory standards as the sector develops.

The comments come as Ghana continues to strengthen its regulatory framework for virtual assets, following the passage of the Virtual Assets Providers Bill in December last year.

Chief Executive Officer of Promark Elite Limited, Peter Fempomanson, organisers of the Digital Assets Summit Africa, said the passage of the legislation represents one of the key developments between last year's summit and this year's edition.

“Last year, when I was fortunate to be with you, there was nothing like the Virtual Assets Providers Bill. So you may recall that in September, we had the Digital Assets Summit Africa, and we had a huge representation from Bank of Ghana as well as Securities and Exchange Commission.”

According to him, the engagement between industry stakeholders and regulators has helped to sustain discussions around the development and regulation of the digital asset sector.

“We take a great deal of pride in that because we felt that the conversation that we started on the sidelines some few years ago is now gaining the necessary momentum, and the Bank of Ghana and Securities and Exchange Commission, who are the key regulators in this space, have taken the conversation seriously.”

Mr Frimpong-Manso also said the second edition of the summit has attracted significant interest, with organisers having to close registration ahead of the event because of the high number of participants.

“You see the number of people who have gathered here this morning, we are basically overwhelmed. And at some point yesterday, I was fortunate to be in your studio, and we had to close the registration.”

Beyond discussions on digital assets and regulation, he said the summit is also focused on creating opportunities for startups and small businesses with innovative ideas but limited access to capital

Mr Frimpong Manso  said the initiative forms part of the organisers' broader effort to ensure that the summit translates into practical opportunities for businesses and entrepreneurs beyond the digital assets conversation.

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DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.