Belarus eyes ban on peer-to-peer crypto transactions in fight against cybercrime

According to a July 2 statement from the Ministry of the Interior (MVD), Belarus wants to introduce a law banning peer-to-peer cryptocurrency trading and requiring citizens to use regulated cryptocurrency exchanges. v contact page.

According to the ministry, cybercrime is rampant in the country, with scammers cashing out stolen funds and converting them into cryptocurrencies.

The MVD further claims that the country’s cybercrime countermeasures department has cracked down on the activities of 27 citizens who provide “illegal cryptocurrency exchange services” since the beginning of the year, with their total income from these illegal activities amounting to about 2,200. 10,000 rubles ($8.7 million).

To prevent the spread of such practices, the ministry is working on “a new law to ban virtual currency exchange transactions between individuals.”

Once the law is passed, Belarusians will only be able to use regulated cryptocurrency exchanges registered in the country’s High-Tech Parks (HTPs) for cryptocurrency trading. The ministry added that the measures will combat cybercrime and make it harder for criminals to launder money.

Part of the statement reads:

“It will not be possible to withdraw funds obtained by criminal means. In such a situation, it would be simply unprofitable for information technology fraudsters to operate in Belarus.”

Meanwhile, the move contradicts previous attempts by the Belarusian government to make the country crypto-friendly. In 2022, President Alexander Lukashenko signed a decree supporting the free circulation of cryptocurrencies.

Will the Belarusian ban work?

Given that cryptocurrencies are designed to evade censorship through peer-to-peer transfers, the practicality of Belarus’ attempts to ban cryptocurrency transactions between individuals remains questionable.

Meanwhile, attempts by several countries to ban cryptocurrency trading within their former jurisdictions have led to an increase in peer-to-peer trading. For example, P2P trading volumes in the African country surged to new highs when the Central Bank of Nigeria banned commercial banks from offering crypto-related trading services.

Furthermore, the news comes as Singapore, Thailand and South Korea announced new regulatory updates for digital assets earlier this month, signaling a heightened global crypto regulatory activity. .

An article about Belarus banning peer-to-peer cryptocurrency trading in the fight against cybercrime first appeared on CryptoSlate.

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