Uganda Begins Regulating Bitcoin

Rage Comment : The digital currency conference held in the Republic of Uganda in July this year was supported by the United Nations African Institute for the Prevention of Crime and the Treatment of Offenders. Representatives from the Bank of Uganda and the Law School of the University of Birmingham also attended the conference to discuss Uganda's Bitcoin regulatory policy.

Translation: Annie_Xu

The United Nations criminal justice agency has released details of a conference on bitcoin and digital currencies that took place in Uganda this summer.

The conference was held on July 7 in Kampala, the capital of Uganda, with the support of the United Nations African Institute for the Prevention of Crime and the Treatment of Offenders (UNAFRI), the Bank of Uganda and the University of Birmingham Law School.

Law School professor Maureen Mapp led the event, noting that its purpose was to research and prepare for local Bitcoin regulatory policy.

Once implemented, Uganda will be the first African country to regulate Bitcoin (interest in Bitcoin is growing in Africa, but its startup scene lags behind other countries).

Maureen Mapp

Mapp said the event was born out of a Commonwealth Secretariat research project on digital currencies, which exposed Ugandan government officials’ ignorance of the benefits and risks of the technology.

“This led me to start talking to policymakers and regulators about how Uganda’s regulatory policies could support innovation while protecting the privacy rights and interests of digital currency users.”

The ultimate goal, she said, is to spread knowledge about digital currencies and pave the way for future exploration.

With the help of the Central Bank of Uganda and UNAFRI, Mapp began to convene domestic shareholders and held meetings at UNAFRI in Kampala.

The outcome of the meeting included the creation of a think tank dedicated to the study of “technical, policy, pluralistic, ethical and legal issues” of digital currencies. The members were drawn from institutions and representatives who attended the July meeting. They also planned a framework for future discussions, which was published by UNAFRI.

The next phase will be preparations for a second meeting, to be held on the same date as the first, but prior to that, planning for regulatory and legal issues in Uganda has already been completed.

“The legal and regulatory environment is ready to embrace blockchain and Bitcoin to realize their benefits and innovations.”

First, shareholders need to determine the direction of regulation. Mapp said current options include self-regulation and public-private partnerships.

"Another issue is how to eliminate risks, protect public interests and ensure the healthy development of innovation."