Tanzania warns crypto could fund terrorism

• Tanzania's central bank warned cryptocurrencies could be used to finance terrorism.
• The governor called for stronger oversight of digital assets.
• Officials said the country is working to reduce financial crime risks.

The Bank of Tanzania has warned that cryptocurrencies could be used to finance terrorism and other illegal activities if they are not properly regulated.

Governor Emmanuel Tutuba said stronger oversight is needed as digital assets become more widely used.

“Cryptocurrencies present new risks that require stronger monitoring,” Tutuba said.

The governor said regulators must improve their ability to detect suspicious crypto transactions and stop financial crime.

Tanzania has been reviewing its approach to digital assets as more countries introduce cryptocurrency regulations.

Many governments are strengthening anti-money laundering rules for crypto businesses to reduce the risks of terrorism financing and other illegal activities.

The latest warning shows Tanzania is taking a more cautious approach as cryptocurrency adoption continues to grow.