Saudi Arabia’s Ministry of Finance (MOF) warns against dealing or investing in virtual currencies including cryptocurrencies as they are not recognized by legal entities in the kingdom.
They are outside the scope of the regulatory framework and are not traded by financial institutions locally.
Such crypto currencies have been associated with fraudulent activities and attract suspicion of use in illegal and illegitimate financial activities in addition to their high-investment risks related to frequent price fluctuations.
MOF said in its statement; ” Virtual currencies have appeared claiming their relationship to financing of projects, activities or investment in KSA and using the name of the national currency of KSA (Saudi Riyal), or KSA’s emblem (two crossed swords with a palm tree) for misleading marketing of its activities such as (Crypto Riyal) or other virtual currencies.
MOF warns that any use of the KSA name, national currency, or emblem by any entity for virtual or digital currencies marketing will be subject to legal actions by the competent authorities in the Kingdom.