Attached is an announcement from the Capital Markets Authority (CMA) in #Lebanon, dated 2018 and signed by the central bank governor. In Lebanon, licensed financial institutions under the jurisdiction of the central bank are prohibited from engaging in cryptocurrency transactions. The statement emphasizes the risks associated with purchasing, owning, and transacting in digital assets, specifically highlighting the following concerns about #Bitcoin.

“This #money is neither issued nor guaranteed by any central bank, and its value is thus subject to sharp and fast volatility, and could even decrease to zero.” - The irony is as clear as day considering the #Lebanese Pound has depreciated by over 98% in the past 3-4 years. Allocating a certain percentage of wealth in Bitcoin during this period would have proven financially advantageous.

“Transactions made using virtual money facilitate criminal activities, notably money laundering and terrorism financing.” - The plot deepens with irony given that in February 2023, the governor faced charges in Lebanon for embezzlement, money laundering, and tax evasion. Furthermore, warrants for his arrest were issued by French and German authorities in May, and Interpol red notices declared him wanted by both countries on money laundering charges. In March of the previous year, France, Germany, and Luxembourg seized assets worth 120 million euros ($135m) in an investigation into his wealth.

In the current opaque monetary system, the most valuable currency is trust. You have to trust that the central authority acts in your best interest. You have to trust that it is acting in a fair and just manner towards all market constituents. You have to trust that they are acting honestly.

The Lebanese central bank warning against the use of a self-sovereign, permissionless and censorship and debasement resistant money is laughable and maybe even malicious.

Don't Trust. Verify.