China Wants to Ban Cryptocurrencies

Article by: The Australian

Adam

The conference at the UNCTAD council went smoothly even though only a few countries were able to attend. Delegates from China and Russia were seen leading the discussion. China from the beginning voiced its opinion that it wanted to ban Crypto because they thought the system was very unstable, and also did not provide transparency and what they feared was cyber crime. Looking the other side, one of the representatives of developing countries in Indonesia said that

Indonesia did not prohibit Crypto but they also did not legalize it, as seen from the proof of payment using crypto it could not be implemented because it had not received facilities. Indonesia has been seen proposing several solutions throughout the session. First they would urge countries to legalize crypto as a tradable asset. Secondly, they would like to create a regulation that requires cryptocurrency service providers to protect its users’ assets and also require governments and investment companies to provide information and even financial advisors with experience in crypto assets so that people can understand the technological risks of Bitcoin and make more informed investment decisions!

The debate is still going on where china is still explaining how crime will vary and increase with the use of crypto, but in the end the most important thing is how they should find solutions to solve problems related to Cryptocurrency, many delegates suggested making regulations regarding payments with Cryptocurrencies but the Swiss delegation thought that they do not have the authority to make regulations regarding Cryptocurrencies. As we know the USA and El Salvador, already legalized payments regarding Cryptocurrency and it is hoped that other countries will follow its steps towards the advancement of modern civilization. But the question is whether developing countries can legalize it?

We can try to understand countries that refuse the legalization of cryptocurrencies in order to prevent possible misuse of cryptocurrencies for money laundering, tax evasion, or other prohibited activities such as terrorism. Even though China had refused to do so, it continued to provide suggestions in the form of solutions related to money laundering by imposing an anti money laundering monitoring system on cryptocurrency. We cannot judge because of limited time so China has not explained enough about his suggestion. Security issues will always be the main discussion in conferences on cryptocurrencies, ranging from user security, protected privacy, clear bodies and regulations.