Will Egypt’s Banking Institutions Create Increased Bitcoin Popularity?
Authorities and banking institutions are tightening their grips on people’s wealth all around the globe. Threatening citizens with invasive practices with quite a bit of focus directed at protectionism and anti-laundering maneuvers. Just recently the Prime Minister of the UK, David Cameron, spoke of monitoring methods to help curb people avoiding taxation. This problem is growing worldwide, and financial institutions are also playing ball with austerity measures. The Al Baraka Bank of Egypt just announced its SAS’ Anti-Money Laundering (AML) solution and launched the platform at all of its branches.
Also read: Sweden to go Cashless, Hope for Bitcoin?
Banks are making it harder and more complicated daily for ordinary citizens to move their wealth around. This is one solid piece of evidence to why protocols like Bitcoin are gaining popularity and how people are avoiding draconian policies with non-banking methods. The Al Baraka Bank wants to keep people funds in the eyes of government as they feel the regulation process is getting technical and sophisticated. “The growing complexity of today’s regulatory environment both locally and internationally has been a key factor to implement SAS FATCA solution within the bank. The solution enabled us to effectively meet complex financial and regulatory requirements including streamlining our reporting process by automatically submitting the reports directly to International Revenue Service” said Adel Mohammed Ahmed Elalem, CIO, Al Baraka Bank of Egypt. The bank partnered with SAS and Data Gear to apply FACTA solutions to the operating locations within the region.
These measures may lead to more growing popularity in Egypt towards decentralized currencies like Bitcoin. Local Bitcoins and Mycelium Local Trader is available in the area, and there is a host of believers in the digital currency within the country. For instance, Omar El Fata, CEO of AMECO Cairo’s largest hypodermic needle manufacturer thinks Bitcoin will help the economy with it’s emerging business solutions in the country. The residents of Egypt also have access to YellowPay, the Jordan-based company that offers a Bitcoin voucher service. Regulation in Egypt towards the virtual money is still in the gray area, but services and organizations supporting it are popping up. If authorities and legacy banks place austerity measures on every transaction or deposit, then more people will eventually leave their in-house banking platform.
Al Baraka Bank of Egypt knows technology is gaining steam within the country and believes it needs to protect its interests with stricter financial regulations. The Bank’s Vice Chairman of the board said the bank was “keen to implement the practice” so they could best deal with the latest technologies in the financial sector. Through the latest solution with FACTA, the bank can more easily comply with IRS regulatory demands both locally and internationally.
As time progresses more country leaders, and banks will implement stricter rules for its citizens and businesses alike. Bitcoin is looking better every day to escape the invasive monitoring of wealth and the pillaging safeguarded assets. As banks like the Al Baraka Bank of Egypt initiate new policy and platforms that use surveillance and audit people funds from the inside more people will move away from these practices. Bitcoin puts the user in charge of their wealth and can be kept hidden from the prying eyes of authorities and financial entities who want to collect revenue off every penny a person makes. Cryptocurrency is the solution for those who wish to avoid these methods today whether they reside in Egypt or anywhere around the globe.
What do you think of the Al Baraka Bank of Egypt’s monitoring solutions? Do you feel these rules are invasive? Let us know in the comments below.
Images courtesy of Redmemes, and Shutterstock