Jordanian government to create virtual assets framework by end of year

The Jordanian government, represented by its Cabinet has approved the establishment of a comprehensive virtual and digital asset regulatory framework to be created within a year.

As per the press release, the initiative aims to align with global standards and foster a robust digital economy in Jordan. The Jordanian King Abdullah II, has enhanced the tasks related to the National Council for Future Technology as well as that of the Jordanian Securities Commission (JSC), to work on defining the requirements for entities engaging in virtual assets. The Commission will also be tasked with development of the legal and technology infrastructure as well as licensing and regulation of crypto trading platforms.

In addition, a ministerial committee, chaired by the Minister of Digital Economy and Entrepreneurship including key officials from the Central Bank of Jordan, the Jordan Securities Commission, the National Cybersecurity Center, and other entities, has been assigned to address challenges and oversee the regulatory process.

Jordan on FATF grey list due to virtual assets risks

In February of 2023, FAFT placed Jordan on its grey list because of risks in virtual assets. One of the reasons for it being on the list was because it needed to address strategic deficiencies including “completing and disseminating the money laundering and terrorist financing risk assessments of legal persons and virtual assets.” 

In a Triple A crypto report in 2023, it was found that 1.5 percent of Jordanians owned crypto up from 1.25 in 2022.

The recent approval from the Jordanian government reflects their intent to comply with FATF recommendations.

Jordan approved blockchain strategy for 2025

In December 2024, the Jordanian Council of Ministers approved the blockchain strategy for 2025 to improve governmental services, security, and competency. As per the announcement, introducing blockchain is aimed to improve transparency and integrity. Blockchain will be used to ensure privacy of citizens’ data including financial, educational, health and others.

The blockchain strategy aims to improve digitization efforts, simplify administrative functions and save time and cost for governmental services. As per the Jordanian government, it will also enhance innovation in various economic sectors such as entrepreneurial and startup sector. The strategy is aligned to the Jordanian economic vision to innovate especially in the telecom and IT sector.

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