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Lebanon’s Central Bank examines State-Backed Cryptocurrency

Lebanon’s Central Bank Governor Riad Salameh said: “that electronic currency will play a prominent role in the future”. During an interview with Thomas Reuters at his office in Central Bank in Beirut, Lebanon.

The governor was actively speaking at a Beirut Corporate Social Responsibility conference. Since it was underwritten in part by Banque Du Liban (BDL).

He said,

“but before proceeding to the plan, BDL must prepare itself to establish the fundamental preparations. Therefore, it produce a strong security system”.

Both the Special Investigation Commission and banking control Commission are associates and actively cooperating to guard such electronic crimes,” The Daily Star reports the governor as saying.

Mr. Salameh enlarged the idea of a future state-backed digital currency. The article rephrases the central bank head’s proposal, “the new digital currency will be circulating according to the Lebanese law and be managing by BDL.

But the governor did not disclose any idea that how the new currency would introduce in Lebanon.”

Read Also: US Government must ‘Stay Out’ of Bitcoin: Former lawmaker

The governor of BDL mention on the matter of the most popular cryptocurrency, Bitcoin, recapitulating, “his opposition to the usage of Bitcoin in Lebanon because it does not properly regulate”.

As per the article, the head of the central bank also quoted “Bitcoin and similar currencies are a big threat to the user and payment transaction systems.”

Mr. Salemah also warned that “digital cryptocurrency are not currencies but rather an asset whose prices may fluctuate without any justification.”

Therefore, for this reason, BDL has prohibited the use of cryptocurrency in the Lebanese market.

Back to the asset of a state-backed cryptocurrency, he predicts that,

“The objective of the financial architecture of the Central Bank aims to secure the stability of the national currency and protect the Lebanese economy.”

Although the BDL head has distinctly felt cryptocurrencies such as Bitcoin are a threat to users. He does not recognize the same way with regard to such currencies challenging the nation’s fiat currency.

He assured, “The main purpose of the financial architecture of the Central Bank aims to secure the stability of the national currency.”

The BDL head made another official statement on the issue of Bitcoin and cryptocurrencies was made in the year 2013. It composes of all the usual warnings and prohibitions long familiar to Bitcoiners around the world.

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Kerin

Kerin is active blogger and guest writer at Coinpedia. She loves writing new updates, price fluctuations and possible insights. Kerin frequently search, review and share her views among large audience via crypto media firms.

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