Jordan’s Cabinet, chaired by Prime Minister Jafar Hassan, approved plans to establish a comprehensive regulatory framework for virtual or digital assets within one year, according to reports.
The move is aimed at aligning with global standards, bolstering the country’s digital economy, and safeguarding investors in an evolving financial landscape.
The decision follows directives from King Abdullah II, supported by Crown Prince Al Hussein bin Abdullah II, to advance the tasks of the National Council for Future Technology.
In line with Jordan’s Economic Modernization Vision, the initiative underscores the government’s commitment to modernizing its financial technology sector and creating an environment that encourages the growth of advanced digital solutions.
Officials say the framework will help empower Jordan’s innovative youth and strengthen the Kingdom’s position in regional and global markets.
Under the new mandate, the Jordan Securities Commission (JSC) has been assigned to define requirements for entities dealing with virtual assets.
It will also develop the necessary legal and technical infrastructure to license and regulate international trading platforms operating in Jordan.
A preliminary study by the JSC highlighted the importance of adhering to international best practices, particularly in combating financial crimes and ensuring robust governance measures.
A ministerial committee headed by the Minister of Digital Economy and Entrepreneurship will work alongside key officials from the Central Bank of Jordan, the JSC, and the National Cybersecurity Center, among others.
The committee’s responsibilities include addressing potential challenges, crafting a governance framework that protects investor interests, and striking a balance between innovation and regulatory oversight.
By implementing a well-defined system of checks and balances, Jordan aims to mitigate risks such as money laundering and cyber threats while fostering technological advancement.
Authorities have emphasized the importance of meeting the Financial Action Task Force (FATF) recommendations, ensuring the country’s compliance with global anti-money laundering standards.
With regional and global leaders like the United Arab Emirates, Bahrain, Turkey, the United States, and Japan already introducing measures for virtual assets, Jordan’s announcement reflects its aspiration to remain competitive in the rapidly growing FinTech arena.
Officials believe the new framework will attract foreign investment, support local startups, and ultimately solidify the Kingdom’s status as a forward-looking financial technology hub in the Middle East.
