Uganda’s ministry of finance on Monday said it would not recognise any crypto-currency as legal tender.
The ministry said in a statement that it had not licensed any organisation in the country to sell crypto-currencies or to facilitate the trade in crypto-currencies.
The ministry said that organisations trading crypto-currencies were not regulated by government or any of its agencies.
“Most crypto-currencies are not backed by assets or government guarantees, therefore holders of these crypto-currencies are fully exposed to the risk of loss or diminishing value as the issuers are not obliged to exchange them for legal currency or other value.
“The public is advised to appraise themselves of the risks associated with cyber-currencies, and exercise caution before they make transactions involving such products,” it added. (Xinhua/NAN)
Uganda cautions public against using crypto-currency as legal tender
