The Namibian government has begun the process of setting up a regulatory authority to oversee the virtual asset industry, acting on the provisions of one of the major mandates of the newly passed law.
The authority will be responsible for licensing virtual asset service providers and overseeing, supervising, and monitoring activities related to the provision of virtual asset services.
Individuals or entities engaging in virtual asset services without proper registration with the regulatory authority may face penalties of up to N$10 million in fines, imprisonment for a maximum period of 10 years, or both.
The country’s central bank, the Bank of Namibia warns the public that because virtual assets like cryptocurrencies are not legal tender, people who transact with them do so at their own risk.