News View Non-AMP

National Bank of Cambodia Allows Stablecoin Services, Tightens Crypto Regulations

Published by
Nidhi Kolhapur

In the latest development, The National Bank of Cambodia has approved compliant stablecoin services but bans unbacked assets like BTC. 

Cambodia Approves Stablecoin Services While Upholding Bitcoin Ban

The Central Bank of Cambodia now allows commercial banks and payment institutions to provide services involving Category 1 cryptocurrencies, i.e., backed or stable cryptocurrencies. However, unbacked cryptocurrencies, such as Bitcoin, remain prohibited.

The development was formalized in a prakas issued on December 26 and announced by NBC on December 27 as reported by The Phnom Penh post. The directive aims to regulate operations and businesses involving digital currencies, reflecting the country’s effort to keep pace with global financial innovations.

National Bank of Cambodia Introduces Strict Rules for Crypto Services

Under the new directive from the National Bank of Cambodia (NBC), commercial banks and payment institutions must obtain prior approval to offer crypto-related services. Authorized institutions can engage in activities such as exchanging crypto assets for fiat currencies, transferring crypto between accounts, and providing custody services. However, they are explicitly prohibited from using their customers’ crypto assets for their own purposes.

Historically, Cambodia has banned cryptocurrency transactions and trading due to concerns about high risks, including money laundering, fraud, and illicit activities in the black market.

Economic researcher Hong Vanak of the Royal Academy of Cambodia noted the growing global popularity of cryptocurrencies, which are used not only for payments but also traded like stocks due to their highly volatile prices, particularly unbacked cryptocurrencies.

  • Also Read :

Vanak argued that cryptocurrencies provide limited benefits to Cambodia’s national economy due to their digital and decentralized nature, which makes regulation, taxation, and ownership tracking challenging. However, he acknowledged that commercial banks and institutions offering crypto asset services could generate revenue through user fees.

Nidhi Kolhapur

Nidhi is a Certified Digital Marketing Executive and Passionate crypto Journalist covering the world of alternative currencies. She shares the latest and trending news on Cryptocurrency and Blockchain.

Recent Posts

Crypto News Today: Bitcoin Eyes $132K After Holding Above $118K

Bitcoin is holding steady above $118,000 despite the recent ups and downs in the market.…

July 27, 2025

Can XRP Price Hit Four Digits in 2025?

Could XRP really reach $1,000? While this may sound far-fetched to many, Jake Claver, director…

July 27, 2025

XRP, Sui, and Pudgy Penguins Set to Hit New All-Time Highs Next Week: Top Altcoins to Watch

The crypto market is starting to go more mainstream, especially after the new GENIUS Act…

July 27, 2025

Crypto Regulations in the USA 2025

The US crypto regulation has changed dramatically in 2025, with the Trump administration adopting a…

July 26, 2025

Algorand Price Prediction 2025, 2026 – 2030: Will ALGO Price Hit $1?

Story Highlights The live price of the Algorand is Price predictions suggest ALGO could reach…

July 26, 2025

Avalanche Price Prediction 2025, 2026 – 2030: Will AVAX Price Hit $100?

Story Highlights The live price of the Avalanche is . Price predictions for 2025 suggest…

July 26, 2025