Nepal’s telecom regulator has asked Internet Service Providers (ISPs) to stop access to crypto websites. A breach would result in legal action it said. The Nepal Telecommunications Authority (NTA), the regulatory body for the country’s communications sector, issued a notice to this effect on January 8 by media reports said.
According to the notice, the NTA has instructed ISPs to block crypto-related websites, including those for crypto trading, ICOs, crypto wallets, and crypto forums. The NTA has also asked ISPs to block any websites that promote crypto-related activities.
The notice states that the NTA has taken this measure as part of its efforts to protect the public from fraud and other risks associated with crypto activities. The NTA has published warned that ISPs who fail to comply with this order will face legal action.
This move by the NTA is in line with the government’s stance on cryptocurrencies. The Nepali government has previously expressed its concerns over the use of cryptocurrencies and has taken steps to discourage its use.
In September 2021, Nepal’s central bank, Nepal Rashtra Bank (NRB), made crypto trading and mining illegal and warned citizens against engaging in these activities. The NRB also cautioned against using crypto platforms, stating that there would be consequences for those found participating in crypto transactions.
Nepal has banned cryptocurrency trading, but Chainalysis recently identified it as an emerging market for crypto in 2022. Despite their illegal status, crypto activities have continued in Nepal, which was ranked 16th on the global crypto adoption index, putting it ahead of the UK. China, Bangladesh, Iraq, Morocco, Algeria, Egypt, Qatar and Tunisia are other countries that have prohibited cryptocurrency trading.
However, the NTA’s order is a sign of the government’s increasing scrutiny of the crypto sector. It will be interesting to see how the government’s stance on cryptocurrencies evolves in the coming months.
