Regulate Blockchain Technology - Govt Urged

By Kingsley Asare

An expert in cryptocurrency, Nick Owusu, has called on the government to develop a policy to regulate blockchain technology in the country.

He said government should not resist the technology, but create a congenial environment and embrace the technology to accelerate the development.

Mr Owusu, who is the Chief Executive Officer (CEO) of NIKGROUP International Limited, was speaking at a blockchain summit in Accra at the weekend on the theme, "The impact of blockchain on business for national development," indicated that the system had the potential to relief the country of its growing debt, and address the socio-economic and developmental challenges facing the country.

The summit, which discussed topics such as the blockchain, cryptocurrency assets, bitcoins, buying crypto assets in Ghana, crypto asset security, application for blockchain technology and emerging opportunities of blockchain, was also used to launch a book on blockchain.

Mr Owusu explained that, "blockchain is a decentralised system of encrypting information, and it is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transaction, but virtually everything of value."

For instance, he said the system could help in tax revenue generation and block leakages in the tax administration, adding that the system could be used in the oil and gas industry to determine accurately the number of barrels of crude oil extracted daily in the country's oil fields.

Mr Owusu explained that, the blockchain, like the Internet, would spawn a lot of businesses, if it was adopted and regulated.

He said the blockchain system could not be altered, stressing that "it can only be updated through consensus, which will require alteration of all subsequent records and even the collusion of the entire network."

"The blockchain technology is a force to reckon with, to set the country free from debt and implications that come with it," he said.

Mr Owusu said the developed economies were adopting the system to improve their economy, and accelerate development.

The cryptocurrency expert entreated the Bank of Ghana to develop regulations to control trading and investment in cryptocurrency (digital currency), which is an aspect of blockchain.

According to Mr Owusu, cryptocurrency could shore up the cedi and reduce Ghana's debt, since it would not require the major international currencies such as the dollar and the pounds sterling to import goods.

The CEO of KuBitX, Eric O.A Annan, contributing to the discussions stressed the need for Africa and Ghana to empower her citizens economically, saying that would reduce poverty and address the under development of the continent.

Mr Annan entreated Ghana to develop friendly blockchain and cryptocurrency policies to attract investment in the sector to Ghana, adding that, currently, blockchain and cryptocurrency were going to Europe, Asia and the Americas, because of the friendly policies there.

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