Despite Myanmar government announced at the beginning of the month that Bitcoins and other cryptos are not legal within the country, the local supporters continue using them.
Seeking for a path for crypto industry. Myanmar government often stays away and keeps silent on global issues especially when it comes to trading with Western Asia. Regardless of the isolation, the country supports global sentiments concerning cryptocurrencies, forbidden for usage and transmission.
The Myanmar Times reports that crypto users continue to prosper no matter of the restricted access to information, trade data, sentiments and limitations for crypto products. Myanmar investors that have online payment opportunities have bought up crypto assets on the growing tendency, and advertising of the local exchange have become more frequent in social media. This have become a matter of concern for the local Central bank (CBM).
Such users as U Aung Aung are a part of the group supporting digital assets. Like many of his compatriots, Aung uses the little-known “Skybit”, a.k.a. exchange that is the only crypto and blockchain service providers in the region. Aung considers that the crypto purchase amounting to $20 was their first crypto deal, confirming that the country has no reliable source of information on crypto currencies, so most users rely on Facebook groups.
But central bank has a different opinion. CBM notes that crypto assets are not a physical thing, unlike gold or printed money. And this means that Myanmar financial system has no room for such products. At the beginning of May the government adopted a law, forbidding crypto industry in its legal framework. Global blockchain
Despite the opposition, crypto proponents go further. Nain Chan, the Get Myanmar CEO, claims that the Government decision is not a ban, adding that “CBM does not prohibit usage of cryptocurrencies in accordance with the law. It has just issued an explanation”. Since there is no official law on prohibition, we cannot say that cryptocurrency trading is illegal”, notes Chan.
He proposes to the Government to use coherent and sensible approach similar to what is being done by world powers like China. As Blockchain.News reported, China, France and even the USA have become members of informal coalition that studies blockchain and crypto asset regulation. Using taxpayers’ money, the countries conduct experimental projects, separate the “blockchain zones” and even use them for fighting coronavirus. But Myanmar is not the only jurisdiction that considers crypto industry to be illegal. Today we can see the world falling into two groups: those who support “old traditional money” and those advocating the “new”.
Blockchain is certainly the innovative technology but the point is who will be in the lead in the technology development. Many of the technologies get centralized, and we hope blockchain will not become another one.