A pile of Bitcoins that were just made are arranged for a photograph in Sandy, Utah, U.S., on Friday, April 12, 2013. Created four years ago by a person or group using the name Satoshi Nakamoto, Bitcoin is a virtual currency that can be used to buy and sell a broad range of items -- from cupcakes to electronics to illegal narcotics. Photographer: George Frey/Bloomberg via Getty Images

The Bank of Uganda has warned the general public of “One Coin Digital Money” commonly known as Bitcoins operations in Uganda. The growing category of money known as cryptocurrency has slowly rooted it’s operations in Uganda and Bank of Uganda has issued a warning to the general public about falling prey to these operations.

Bitcoin is a form of digital currency, created and held electronically. No one controls it. Bitcoins aren’t printed, like dollars or euros – they’re produced by people, and increasingly businesses, running computers all around the world, using software that solves mathematical problems.

In an official statement published in a local daily, the Governor of The Central Bank Professor Tumusiime Mutebile warned the general public about these operations that are cropping up in Kampala.

Bank of Uganda wishes to notify the general public that the entity “ONE COIN DIGITAL MONEY” is not licenced by the BoU under the financial Institutions Act 2014 and is therefore conducting business outside the regulatory purview of the BoU. The above entity’s webiste address is www.onecoing.eu and it has opened up an office on the Fourth Floor, Mukwano Courts, Buganda Road Kampala. The company is still in its formative stages but it is aggressively encouraging members to buy digital money and promising very high returns and rewards on ‘first come-first served ‘ basis.

Bank of Uganda warns the public that whoever wishes to invest their hard earned savings in Cryptocurrency forms such as One-coin, Bitcoin, Ripple, Peercoin, Namecoin, Dogecoin, Litecoin, Bytecoin, Primecoin, Blackcoin or any other forms of Digital currency is taking a risk in the financial space where there is neither investor protection nor regulatory purview. The Public is hereby warned that whoever deals with ‘One Coin Digital Money” does so at his or her own risk.

The Public is strongly encouraged to do business transactions with only licenced financial institutions. The list of these can be viewed on the Bank of Uganda website (www.bou.or.ug )