Bitcoin, Cryptocurrency and Blockchain Adaption by Asia Pacific Countries

The cryptocurrency mania (majorly Bitcoin) has hit the Wall Street and Dalal Street market alike. Though it is a very risky and volatile asset, but people are buying it to make a quick buck. Every country has different norms when it comes to investments in the cryptocurrency. Some countries have adopted cryptocurrency in its eco-system and others have refused to. Let’s have a look on how different asia pacific countries have adapted it:-

Bitcoin and Cryptocurrency Friendly Countries

Japan

This Asian country is popular as one of the friendliest destination on the earth for Bitcoin and cryptocurrency. Earlier this year, in April, Japan has passed a long pending law that confirms Bitcoin and other cryptocutrrencies as a means of payment.

Even the Japanese banks are looking forward to introduce their own digital currency called as the J-coin. The J-coin will be treated similar to Japanese currency yen and the users will be able to spend it through the mobile app. Even the large retailers in Japan are accepting bitcoin as a means of payment.

This is in sharp contrast with its neighbors like China, South Korea where the government plans to ban Bitcoin exchange. This situation will allow Japan to bring forth more investments in the cryptocurrencies.

Phiilipines

After introducing several laws and regulations related to bitcoin exchanges,  the authorities in Philippines are now planning to regulate the ICO market. Bangko Sentral ng Pilipinas governor has revealed that soon the regulations for initial coin offerings will be passed.  

Singapore

Singapore is considered one of the friendliest places for the trading bitcoin because of high technology penetration and soft regulatory norms. Various communities have been set up in Singapore to the Bitcoin environment to a new level. Even Singapore is planning to experiment with its own blockchain and digital currency.  In 2016, the Monetary Authority of Singapore launched a project Ubin through which Singapore plans to explore the blockchain technology. Several major banks like Bank of America, Merill Lynch, Citi and Credit Suisse are involved in this project.

Thailand

In 2013, the government of Thailand questioned the legality of bitcoin and other cryptocurrencies. In 2014 they declared Bitcoin as not illegal but a risky form of payment. In 2017, finally the deputy PM of Thailand ordered to ease the restrictions related to digital currency which may hinder its development.

Countries who Banned Cryptocurrencies

Indonesia 

Indonesia-Indonesian market is matured enough to leverage on the blockchain technology, but  being a cash-based economy, there needs to be a paradigm shift in thinking to adopt this technology. But it has failed to make a mark because crypto-currency is a difficult subject matter and the government is barring it to spread the wings.

Vietnam 

The government of Vietnam has put a blanket ban on digital currencies

China

The government of China has also warned the investors about this speculating market. They have issued notice to the bitcoin exchanges to wind up their operations.

Countries with Neutral Stand on Virtual Currency

Malaysia

Malaysia has already joined the bandwagon of other market regulators who have warned the investors about this volatile market. The Monetary Authority of Malaysia has advised to investors to invest the amount with a great caution.  The market is unregulated, which means if an investors loses money, he/she does not have right to redress grievance to the Malaysian government.

India

In India, the government has raised no bars on investment in the cryptocurrency market, but the Finance Ministry of India and central bank have issued a warning on the same. The RBI has already set up a panel to assess the situation and asked the investor not to invest much in this risky market because the investments in bitcoin are not similar to the investments in a listed company. Besides another serious question is raised about the future of the cryptocurrency. The income tax department is probing bitcoin exchanges and is in a process to determine at what rate the gains should be taxed under the good and service tax regime.

Taiwan

Taiwan is not following the same suite like South Korea and China, rather the government of Taiwan believes that there is a huge opportunity and growth in this sector. Hence, there is no need to ban or treat cryptocurrency in an unadulterated mode. Though the government has not regulated the ICO or crypto-currency market but it has refrained from outrights bans on cryptocurrency.

Countries with mixed reactions on Digital Currency

Australia

In Australia, the cryptocurrency market is growing at a rapid phase. In the first half of the year, the market grew by 800%. The excitement has been fueled by ICO, inbound public excitement to earn returns, and accelerating profits offered to the investors. The Australian market is highly regulated when it comes to the use of digital currency. But the reactions are still mixed because a strong law has still not been passed.

Hong Kong

Though the cryptocurrency market is in embryonic stage in Hong Kong, but its massive interest has piqued the investors’ interest.  The government is planning to regulate the market soon.

Korea

South Korea has a matured crypto-currency market but, the financial regulator has said that it will ban raising money through the virtual currencies. This move follows after the South Korean crypto-currency market was hacked for the second time in the year.

Conclusion

The crucial question is whether the bitcoin or any other cryptocurrency is a sound investment or not? Whether the trading firms will accept this as a mode of payment? Will it be accepted as legal tender money in time to come? Well, in such a scenario the investor should take an informed decision as an investment in bitcoin is tricky.