The Central Bank of Myanmar (CBM) has announced to outlaw the use of Bitcoin and other cryptocurrencies in the country. However, the crypto community in Myanmar is unfazed by the decision.
May 23 2020 | AtoZ Markets – As the Bitcoin revolution continues to spread throughout the world, there are still some countries where buying or using Bitcoin is illegal and can get you in trouble.
Bitcoin transactions in Myanmar are illegal
Myanmar’s financial services regulator is not a fan of Bitcoin and other cryptocurrencies, and it has made its stand quite clear. The Central Bank of Myanmar has recently announced that the use of cryptocurrencies in the country is illegal.
Related: Is Russia Set to Ban Cryptocurrency Payments?
However, crypto supporters in the Southeast Asian country believe that the law is on their side, and the decision by the central bank won’t last. The central bank stated it didn’t recognize cryptocurrencies as legal tender and prohibited all commercial banks from accepting or facilitating transactions made in Bitcoin.
Myanmar sees growing interest in cryptocurrency
According to the Myanmar Times report, the country has seen a surge in digital currency interest in the past few years. The surge in interest in crypto hasn’t gone unnoticed by the regulators. In a drastic move, the central bank has banned the use of cryptocurrencies in the country.
The Central Bank of Myanmar further warned that anyone who trades in cryptocurrencies stands facing penalties, including imprisonment and heavy fines. The East Asian country is not the first one to announce a banking ban on crypto. Several other nations have or had imposed such bans on the crypto industry.
Read: Kuwait bans cryptocurrency trading for financial institutions
Crypto community is unfazed by the central bank’s decision
The crypto community in Myanmar is unfazed by the strict warning of the central bank. According to the traders, the regulator has no authority to make such declarations or to implement them. They believe that such notifications must be supported by legislation, and as it stands, no law prohibits the trading of digital currencies in Myanmar.
Some, however, have a different view of CBM’s stance. For example, Nyein Chan Soe Win, a financial technology expert in Myanmar, said:
“The CBM has not prohibited the use of cryptocurrencies under the law. It has just issued an announcement. As there is no official law, it can’t be said that trading digital currencies is illegal. Before making crypto illegal, its impact on the local and compatibility with existing policies should first be analyzed and discussed.”
Do you believe Myanmar will change its stance on Bitcoin and build a regulatory framework around it? Don’t hesitate to let us know in the comments below!