| James Kon |
CRYPTOCURRENCY is not a legal tender in Brunei Darussalam and not regulated by Autoriti Monetari Brunei Darussalam (AMBD).
This was highlighted by YB Pehin Orang Kaya Seri Kerna Dato Seri Setia (Dr) Haji Awang Abu Bakar bin Haji Apong, Minister of Home Affairs in his capacity as the Deputy Chairman of AMBD, at the 14th Legislative Council (LegCo) session yesterday in response to a question raised by LegCo member YB Iswandy bin Ahmad on policies for e-payment and cryptocurrencies in line with Industrial Revolution 4.0.
However, the minister pointed out that activities related to the use of cryptocurrency are possibly those that come under AMBD’s regulatory jurisdiction. “This includes but not limited to providing financial services to public such as giving loans and taking deposits, remittance of funds, foreign currency exchange services and issuance of securities.
“Individuals and companies that are interested in carrying out commercial activities related to cryptocurrency should seek legal advice from lawyers on whether such activities are included within the jurisdiction of AMBD.
“AMBD would like to urge the public to be cautious when dealing with cryptocurrency and understand the risks associated with it. Protecting the interest of the public and the integrity of the financial system of Brunei Darussalam remains a priority of AMBD,” the minister said, adding that AMBD will continue to monitor the issue of cryptocurrency.
On the government’s e-payment policy, the minister explained, “One of the visions of AMBD’s Financial Sector Blueprint is for Brunei to accept more electronic payment and at the same time reduce payment using cash and cheques.
“It is important that in a small market like Brunei, all types of electronic payments – from banks, mobile network operators or others – operate together.”
AMBD has carried out a study in this regard and the result of the study can help AMBD identify the best strategies for a small market like Brunei. “AMBD hopes that there will be a surge in electronic payments and the implementation of the policy will involve relevant parties like fintech companies, telecommunications providers and banks,” the minister said.
Meanwhile, in response to a question raised by LegCo member YB Khairunnisa binti Haji Ash’ari on unlicensed money lenders, the minister said, “AMBD is constantly monitoring unlicensed lending activities in the country. AMBD has always cooperated with the relevant enforcement agencies, especially the Royal Brunei Police Force, for the investigation of any individual/company suspected of conducting unlicensed lending activities. From time to time, it also publishes an ‘Alert List’ on the AMBD website to list individuals/companies suspected of carrying out unlicensed financial activities including unlicensed money lending.
“AMBD will continue to provide public awareness through financial literacy programmes such as roadshows and publications in mass media and social media, to remind the public not to become victims of unlicensed financial activities.
“Members of the public are advised to always be cautious and not to engage in unlicensed financial activities. For any complaints, they can contact the AMBD or lodge a report directly to the Royal Brunei Police Force,” the minister said.