BPNG warns against cryptocurrencies

The Bank of PNG is warning the public that cryptocurrencies, or digital money, are not currencies issued or regulated by the Central Bank.

BPNG says these cryptocurrencies do not have any legal tender status to be accepted as a currency in PNG.

The Central Bank says investment in digital currencies such as bitcoin, ethereum, EOS or Litecoin is considered very risky and speculative in nature.

“People who invest in any of the cryptocurrencies do so at their own risk,” says BPNG Governor, Loi Bakani.

“There is no guarantee that cryptocurrencies will be accepted as a medium of exchange, or will hold their value.

“The Central Bank does not currently endorse unregulated cryptocurrencies like bitcoin and The Billion Coin that is promoted in parts of PNG, especially in East New Britain Province.

“Hence, the Bank of PNG is advising the public against investing in any of these digital currencies.”

The Central Bank has, however, been researching into the potential use of blockchain technology as a platform for promoting financial inclusion in PNG.

Press release