Morocco is preparing to legalize cryptocurrencies

Morocco is taking steps to legalize cryptocurrencies, with a new law currently in the adoption process, according to Reuters.

Digital currencies have been banned in Morocco since 2017 but they are widely used on the black market, Morocco World News reports. Financial website Insider Monkey ranked Morocco at number 13 on its global list of bitcoin usage in 2023.

Beyond legalization, Morocco is also exploring the potential development of its own central bank digital currency (CBDC) through the Bank Al-Maghrib, its central bank.

"Regarding central bank digital currencies, and like many countries around the world, we are exploring to what extent this new form of currency could contribute to achieving certain public policy objectives, particularly in terms of financial inclusion," said Abdellatif Jouahri, Morocco’s central bank governor, during an international conference in Rabat.

The value of cryptocurrencies has skyrocketed since the election of U.S. President Donald Trump. Bitcoin has gained more than 40% nearing the $100,000-mark last week. Investors are betting Trump will follow-through on his promises to make the U.S. the “crypto capital of the planet”, NewsNation reports.

Trump has vowed to create a crypto advisory council with a “crypto czar”. While the upside to crypto has been tremendous, digital currencies are considered high risk because they are loosely regulated and prices can fluctuate wildly.