’You risk losing your money’ – NBR Governor warns Rwandans against STT and other cryptocurrency platforms

By Wycliffe Nyamasege
On 22 March 2024 at 12:04

John Rwangombwa, the Governor of the National Bank of Rwanda (NBR), has warned members of the general public against suspicious cryptocurrency platforms in the country, citing their lack of licenses to operate.

Speaking during the release of the Monetary Policy and Financial Stability Statement on Thursday, March 21, 2024, Rwangombwa said the central bank had received numerous queries about platforms such as Super Free to Trade Ltd (STT) and warned that users risk being scammed, as these platforms are neither regulated by the NBR nor the Capital Markets Authority (CMA).

"We have said this again and again that these cryptocurrency businesses are not regulated in Rwanda. There are a lot of scams around these cryptocurrency and other online businesses. We have given warning to people to avoid investing or buying these assets.

“I have seen a lot of questions on social media about STT and we have always answered those asking that these are risky businesses… They are not regulated and we advise people not to invest in these assets because people have lost money and they keep losing money,” Rwangombwa said in response to a query from the audience during a Question and Answer (QA) session.

He emphasized that some of the platforms have only registered with the Rwanda Development Board (RDB) as business entities, hence lack a mandate to handle financial assets.

“The question that we are asked back is but they are registered by the Rwanda Development Board. But I would like to tell the general public that anybody transacting in business dealing with financial assets must be licensed by the central bank or Capital Markets Authority,” he said.

“If any of the businesses doesn’t have a license from Central Bank and the CMA don’t invest. I strongly advise people to avoid these businesses that promise overnight riches; such claims are false. You are going to lose your money and you can only count yourself responsible for that,” the governor warned.

High internet penetration has, in recent years, seen online pyramid schemes become popular in Rwanda.

The schemes leverage technology to lure users into investing a certain amount of money, with false promises of huge returns in interest within a short period.

Some of the platforms have been shut down in the past while others continue to operate, fleecing Rwandans their hard earned money.

The Governor of the National Bank of Rwanda, John Rwangombwa has warned Rwandans against STT and other cryptocurrency platforms.