Central bank issues warning against cryptocurrency investments
Fiji’s central bank has issued a cautionary statement regarding cryptocurrency investments being promoted in the region. The Reserve Bank of Fiji (RBF) emphasized in a press release on April 15 that cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) are not recognized as legal tender in Fiji and cannot be used for payments of goods and services according to local regulations.
The Governor of the Reserve Bank of Fiji, Ariff Ali, also highlighted the increasing promotion of crypto investment schemes in the region and clarified that the RBF has not authorized any person or entity to offer cryptocurrency investments or trade in virtual assets in Fiji.
The central bank reiterated that it is illegal for individuals or entities to use funds held in Fiji to purchase or invest in cryptocurrencies and warned that such activities may be subject to penalties.
It is worth noting that the RBF’s stance on crypto investments has changed over time. Reports in July 2023 suggested that the central bank was considering the use of digital currency in Fiji, but no definitive decisions have been made regarding the legalization of cryptocurrencies since then.
Furthermore, in late December 2023, there were reports of collaboration between the Reserve Bank of Fiji and the National Bank of Cambodia to enhance the cross-border payment network using central bank digital currencies (CBDCs). However, there have been no significant developments in this regard so far.
In conclusion, the Reserve Bank of Fiji’s warning against crypto investments remains in place due to legal tender laws and potential penalties under local regulations.
