Crypto adoption in Morocco has reached 16% of its population despite a decade-old ban on transactions with digital assets and recently increased scrutiny.

The growing popularity of coins among Moroccans seems to have finally convinced their government to prepare to abandon full restrictions in favor of regulation.

Proper oversight may replace ineffective prohibition

The use of cryptocurrencies has been formally banned in Morocco since late 2017, with regulators regularly reminding citizens that any transaction with the digital assets is punishable by law.

At the time, the decision was justified with breaches of existing rules and lack of customer protection, risks of money laundering and capital flight, all endangering the nation’s…