Kuwait has become the latest country to completely ban all cryptocurrency-related activities, citing efforts to combat money laundering and terrorist financing.。According to a notice issued by the Capital Markets Authority (CMA), the main use cases and operations of cryptocurrencies are "absolutely prohibited," and the order covers cryptocurrency trading, payment, investment and mining operations.。

"The State of Kuwait absolutely prohibits the use of virtual assets as a payment instrument / method or as a decentralized currency, and therefore you must avoid transactions that use virtual currency as a payment instrument / method within that scope," the notice states, "the use of virtual assets as a means of investment is prohibited and it is necessary to avoid providing such services to any customer."。This further prohibits local authorities from issuing licences to companies offering virtual asset services.。However, securities and other financial instruments regulated by the Central Bank of Kuwait and the CMA are not included in the latest ban.。

In addition, the regulator stressed that cryptocurrencies "do not have legal status, are not issued or are not supported" and asked customers to be alert to any associated risks.。The order added: "It has nothing to do with any asset or issuer whose prices are always driven by speculative behaviour, leaving them at risk of a sharp decline.。"

Regulating cryptocurrencies has become a top global priority。However, the positions of regulators vary。Some jurisdictions such as Hong Kong and Dubai have made progress in cryptocurrency regulation, while countries such as Canada have rejected several cryptocurrency exchanges with their strict requirements.。

While a handful of countries, including China, have banned cryptocurrencies outright, many have already banned cryptocurrency payments, Thailand and Russia are two countries that allow crypto investments but ban payments, and Belarus also plans to ban peer-to-peer crypto payments.。