Digital Currencies: Risk Analysis, Challenges, and Opportunities

The Risk Management Experts Forum organized a specialized seminar titled “Digital Currencies: Risk Analysis, Challenges, and Opportunities.”

Dr. Marwan Awad, Chairman of the Forum’s Board of Directors, explained that digital and crypto currencies require continuous awareness efforts to clarify the risks surrounding them and the procedures needed to protect institutions and individuals.

Shaher Suleiman, Executive Director of the Forum, noted that the seminar was part of the Forum’s monthly awareness series, which aims to promote institutional risk management within a comprehensive governance framework. He also highlighted the distinction between digital currencies and crypto-assets, and reviewed market developments during 2023 and early 2024.

Economist and financial expert Dr. Adli Kandah presented a detailed analysis of digital currencies as money available only in digital or electronic form, and explained that all crypto-assets are digital currencies, but not all digital currencies are crypto-assets.

Dr. Kandah reviewed statistics on crypto users in Jordan and globally, discussed Bitcoin’s share of the crypto market, and warned that recognizing unregulated crypto-assets as a medium of exchange may weaken national currencies, complicate monetary policy, and widen the gap between the real and financial economies.

At the conclusion of the seminar, Dr. Kandah called for regulating all forms of digital currency transactions and accelerating the issuance of official central bank digital currencies to strengthen trust and reduce potential risks. He also answered questions from participants.