TechFlow news, on December 27, according to Cryptonews, the National Bank of Cambodia (NBC) has for the first time approved commercial banks and payment institutions to provide services related to Category 1 crypto assets, including stablecoins and secured cryptocurrencies, while still banning unsecured cryptocurrencies such as Bitcoin.
The directive was issued on December 26 and announced on the 27th, aiming to regulate digital currency operations in line with global financial trends. Institutions must obtain approval from the NBC before offering services such as exchanging crypto assets for fiat currencies, transferring between accounts, and custody. Institutions are prohibited from using customers' crypto assets for their own purposes.
Earlier reports, earlier this month, Cambodia blocked 16 cryptocurrency exchange websites including Binance, Coinbase, and OKX as part of its efforts to regulate the digital asset market. Although website access is restricted, these platforms’ mobile applications remain available.
Despite these measures, Cambodia continues to lead globally in per capita retail crypto usage, with centralized exchanges accounting for 70% of the country's crypto transactions. Currently, only two companies are licensed under the Securities and Exchange Regulator of Cambodia (SERC)'s "FinTech Regulatory Sandbox" program, allowing them to trade digital assets but prohibiting exchanges with Cambodian riel or other fiat currencies.
