Ghana is working swiftly to implement formal cryptocurrency regulations by the end of December, underscoring a wider effort across Africa to manage a rapidly expanding digital asset market that currently lacks clear oversight. However, the initiative carries a notable paradox, as the central bank is developing a legal framework for a multi-billion-dollar industry before assembling the team required to enforce it.
Johnson Asiama, the central bank governor of the West African nation, confirmed the timeline during the International Monetary Fund meetings in Washington, noting that a bill is being prepared for submission to parliament.
He admitted that the Bank of Ghana “late to the game” and is now urgently “building the necessary expertise” while establishing a new department to regulate the sector. This regulatory gap persists in a market of considerable size; between July 2023 and June 2024, Ghanaians traded more than USD 3 billion in cryptocurrency, with an estimated 3 million individuals, around 9% of the population actively involved.
Ghana’s push for regulation forms part of a broader continental movement, shaping a complex and competitive environment for digital assets. In Kenya, parliament has recently approved the Virtual Asset Service Providers bill, which is now pending the president’s signature to take effect.
Meanwhile, South Africa has positioned itself as a regional frontrunner, having already granted licenses to numerous crypto asset service providers and now enforcing advanced regulations such as the “Travel Rule” to combat money laundering, with its market revenue expected to reach USD 373.5 million this year.
Nigeria, the regional powerhouse, recorded an enormous USD 59 billion in crypto transactions over a recent one-year period, with a new formal tax framework slated to take effect next year. This development highlights the growing pressure on other African nations to establish their own regulations or risk falling behind.
Ghana’s urgency stems from multiple factors. Amid the local cedi’s volatility, authorities aim to bring cryptocurrency transactions currently happening outside conventional banking oversight—under regulation to strengthen monetary policy control. The central bank is also operating a digital sandbox that allows selected companies to test crypto services under supervision. However, the divide between ambition and administrative capacity remains a major hurdle.
The oversight department remains unstaffed, casting doubt on how effectively enforcement will function once the law is enacted. As one prominent regional financial advisor remarked earlier, “the digital train has left the station,” warning that inaction could lead to “loss of tax revenue, increased illicit capital flows, hindered innovation, and a youth-driven digital economy operating beyond state control.”
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