Nepal Bans Crypto Services: NTA Takes Legal Action Against Non-Compliers

Updated: 1 year

• The Nepal Telecommunication Authority recently issued a notification banning all cryptocurrency-related services.
• The Nepal regulatory authority has previously declared crypto-related activities illegal.
• The NTA has threatened to take legal action against any entity that does not comply with the orders.

Nepal’s telco regulators have recently issued a notification ordering internet service providers to ban all cryptocurrency-related services. This was issued on January 8th and is the latest step in Nepal’s stance on cryptocurrency, which has been increasingly negative. The Nepal Telecommunications Authority (NTA) has threatened to take legal action against any entity that does not follow the orders.

The email notification released by the NTA stated that users should not have access to “websites, apps, or online networks” that are connected to the crypto industry or trading. This comes after the Nepal regulatory authority found out that despite declaring crypto illegal, there has been a considerable increase in the trading of virtual digital currencies in the past few months. Early last year, the Nepal telecommunications authority urged the public to inform them of anyone participating in any illegal activities that are in any way connected to the cryptocurrency industry.

The NTA also warned that there should be legal consequences if “anyone is found to have done or been doing” anything related to the crypto industry. They also asked for the public to provide information about any website, app, or online network related to cryptocurrencies. In response, the NTA then issued a notice saying that access to crypto services should be blocked.

The move by the NTA is in line with the wishes of the government of Nepal, which has been pushing for more regulation of the crypto industry. The government believes that the crypto markets need to be better regulated in order to protect investors and ensure that the industry is held accountable for any fraudulent activities.

The NTA’s decision to ban all cryptocurrency-related services has come as a surprise, as the country has been relatively open to the idea of cryptocurrencies. However, with the government’s recent push for tighter regulation, the authority is likely hoping that this move will help curb any illegal activities in the industry.

The ban on crypto services may also be seen as a way for the Nepal government to protect its citizens from any potential risks associated with trading and investing in cryptocurrencies. As the crypto markets are still relatively new and unregulated, there is a high risk of fraud and other malicious activities. By banning crypto services, the NTA is likely aiming to protect its citizens from any potential harm.

Overall, the Nepal Telecommunications Authority’s recent move is a clear indication that the government is serious about regulating the crypto industry. With the ban on crypto services, the NTA is likely hoping to protect its citizens from any potential risks associated with trading and investing in cryptocurrencies.

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