The Government of Sri Lanka (GoSL) has formed a committee to attract investment in the areas of digital banking, blockchain technology and “related industries such as cryptocurrencies”.
According to the press release, the authority will study regulations and initiatives in other jurisdictions, including Dubai, Malaysia, the Philippines, the European Union, Singapore, and then propose suitable regulations for Sri Lanka.
“The necessity to develop an integrated system of digital banking, blockchain and cryptocurrency mining; at the same level with global partners in the region while expanding trade in international markets has been identified”. The statement said.
Vistas of Prosperity and Splendour
Namal Rajapaksa, Minister of Development Coordination and Monitoring, Minister of Sports and Youth Portfolio, and State Minister of Digital Technology and Enterprise Development of Sri Lanka, proposed the committee. The group was created within the framework of the national program “Vistas of Prosperity and Splendour”.
It includes experts in various fields, including representatives of Mastercard, PricewaterhouseCoopers, the central bank, other departments and firms.
The Committee will also study the legal norms of other countries in terms of combating money laundering. Also countering the financing of terrorism and criminal activity. As well as Know-Your-Customer (KYC) procedures.
The rise of cybercrimes
Recall that at the end of 2020, Sri Lanka topped the ranking of countries in terms of the growth in the number of cybercrimes with an indicator of 359%, according to a Comparitech study.
The company reported that ransomware remains the most popular among hackers. At the same time, they have become more targeted: attackers almost always know how much the victim has; which is why the ransom amount is also growing.
Comparitech estimates that 71.1 million people become victims of hackers every year in the world. Their combined losses reach at least $318 billion. That is, on average, each attack costs one victim $4,500.