The Governor of the Central Bank has stated that he does not approve of cryptocurrency transactions in Sri Lanka

• An earlier report had stated that the Cabinet had approved the investment of Christocurrencies in Sri Lanka and that the Government and the Cabinet would report to the Cabinet on the Acts, Rules and Regulations required to attract investment to companies operating in these sectors. Approval has been given to the Board of Investment to appoint a committee of skilled professionals in the private sector and to take the necessary steps to approve cryptocurrency mining companies to invest in Sri Lanka, subject to the provisions of the Board of Investment Act No. 4 of 1978 and related amendments thereto.

• The proposal made by Hon. Namal Rajapaksa to proceed with the relevant activities, was approved by the Cabinet. Namal Rajapaksa made the following announcement in a Twitter message.

#LKA is taking a leap fwd today as cabinet approves to establish a committee to propose policy on Block Chain Technology, Digital Banking & Crypto Mining! Forward thinking & proper regulatory framework will ensure that #LKA will lead the digital economy in the region.#futureready

— Namal Rajapaksa (@RajapaksaNamal) October 6, 2021

• However, the Governor of the Central Bank of Sri Lanka Ajith Nivard Cabraal has stated today that there has been no change in their position on cryptocurrency. He further stressed that if anyone in Sri Lanka trades using crystocurrency, they are at risk. 

"Our policy on cryptocurrencies has not changed. We are following the same policy. If people use different currencies, they should take that risk. There are those issues when exchanging goods. That is not what we expect. The currency of Sri Lanka is the Rupee. We have not approved anything other than that. - Ajith Nivard Cabraal"

 

• The Governor of the Central Bank was responding to a query made by Ada Derana as to whether such transactions are permissible in Sri Lanka as some companies, especially those engaged in the sale of apartments, have publicly advertised that they accept cryptocurrency payments on sale and lease. This was said.

• Companies trading in luxury apartments in Sri Lanka have now publicly advertised that they accept cryptocurrency payments on sale and leasing, and have now created Sri Lanka's first cryptocurrency payment gateway. Deputy Governor of the Central Bank of Sri Lanka TMJ Y.P. Ms. Fernando said the public had been made aware of the dangers of using cryptocurrency.

• The Central Bank of Sri Lanka issued a press release on 9 April 2021 stating its position on the use of cryptocurrencies, stating that investing in cryptocurrencies could result in financial, operational and legal implications for the public as well as the Sri Lankan economy. ), The Central Bank of Sri Lanka warns the public of significant risks related to customer protection and security.