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Monday, July 24, 2017

Central Bank of Azerbaijan issues statement on bitcoin

The Central Bank of Azerbaijan recently issued a statement with regard to growing interest in the country in the virtual currency bitcoin.

According to the CBA, there is currently no legislation that addresses the mechanism of Bitcoin regulation.

"In accordance with the Azerbaijan Constitution, it's prohibited to use other means of payment in the country except the national currency: Azerbaijani manat. At the same time the Central Bank has developed the draft law 'On payment services,' which implies creation of the legal framework for use of e-money, rules of their issue and application, as well as provides measures for the state control of this sphere. Adoption of this law will allow the creation of favorable conditions for use of controlled e-money," the bank said.

Elsewhere, China has issued new rules restricting the exchange of bitcoin for local currency, and the European Banking Authority has warned that bitcoin lacks consumer protections.