Malaysia’s Central Bank Issues Caution Against Bitcoin

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Bitcoins have lost some sheen after several central banks across the world issued cautions against the cryptocurrency. The latest central bank to join the club is the Bank Negara Malaysia.

Because of the central bank’s stand against the Bitcoin, seen by many as an alternative tender, the cryptocurrency’s status has received a serious setback. It has already dissuaded many Malaysians from buying Bitcoins or using it as a alternative currency for now.

The bank came out with a short press release on January 3 stating that Bitcoin was not a recognized legal tender and that the central bank will not regulate its use. So the public should be cautious about using Bitcoins in financial dealings.


The central bank’s press release is ambiguous, say Bitcoin Malaysian supporters

It should be noted that the central bank has not banned the use of the currency. There is also a lot of ambiguity on whether it will ban the use of the cryptocurrency in Malaysia in the future. In short the central bank is saying ‘deal with the currency at your own risk.’

Many supporters of the cryptocurrency have taken this as a positive sign. founder Colbert Lau said that the central bank’s warnings have not affected the trade in Bitcoins and it is business as usual for him and his company. In fact, he expressed optimism that many big Bitcoin players from Europe and the US might set up branches in Malaysia soon, to grab a piece of the growing Bitcoin pie.


SEE ALSO: Bitcoin in Malaysia: What You Should Know

AND: Other ‘Tech’ Stories Published on Leaping Post



Source: The Guardian

Photo credit: PerfectHue / / CC BY


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