Bitcoin banned in Sri Lanka

[KingOfWinterfell01]

Last past months Sri Lanka's Main Bank (Bank of Ceylon) was banned cryptocurrencies in Sri Lanka. What do you think is the reason for that ?

Probably because bitcoins in Sri Lanka have been so rampant that it actually started to take a toll of the economy of the country. We can never blame Sri Lanka for the move, it's because they are just protecting the balance of the economy. Maybe in time, once bitcoins have stabilized or Sri Lanka has made innovations to accept bitcoins, they can open their doors again.

[resty]

Last past months Sri Lanka's Main Bank (Bank of Ceylon) was banned cryptocurrencies in Sri Lanka. What do you think is the reason for that ?

That's  normal of bank doesn't approved and totally ban of crypto currency because it is a number one obstruction of their digital business industry  specially their financial income is stable. but the government of Sri lanka will not be mention here only the bank of CEYLON was ban of crypto currency.

[Serious Miner]

Sad to hear this pathetic news that central bank of Sri Lanka has banned bitcoin. Bitcoin is decentralized as we know and no government can allow something which cannot be their controlled and except this government might be afraid of using illegal transaction of money. In the meantime, the government won't get taxes from this, that's could be the reason for banning bitcoin in Sri Lanka.

[cryptochi1986]

As for my knowledge, CBSL has only made a public awareness of cryptocurrencies in general. I was not able to find any valid source where mentioning a BTC being banned. According to the CBSL announcement, it has warned the general public to be cautious in dealing with cryptocurrency and no guarantee is given on any investment made.

However, CBSL has taken a decision to restrict payments to forex trading and iq options. This along with the plan on reducing foreign currency outflow to stabilize the LKR against USD

[haidil]

banning bitcoin in a country is not a good decision, blocking bitcoin is makes the country is restricted for new technology from the outside.

I think they are afraid that bitcoin will be used in negative terms such as for terrorists, but if their views are a little advanced, of course there will be many benefits

[Evil eye]

If really happen this, Obviously it is bad news for Sri Lankan crypto investor. This decision is take Lankan Main Bank so it is prohibited to sell and buy bitcoin and other cryptos. But we seen a news, where Central Bank of Sri Lanka just warn to people. I think they was not banned bitcoin in their country.

[Sobocirevo]

banning bitcoin in a country is not a good decision, blocking bitcoin is makes the country is restricted for new technology from the outside.

The more countries that prohibit bitcoin must be a reference for finding the cause, why many countries forbid it. There must be a solution that becomes an agreement, meaning that as a digital currency that is only one decade is certainly not perfect. But as technology, bitcoin has made very fundamental changes to the financial transaction system, especially the use of blockchain which is ultimately used by many companies outside bitcoin.

[rodneyDDS]

"On 15th August, Cargills Bank Limited, a notable commercial bank in Sri Lanka announced their collaboration with Ripple, a prominent payment provider. The partnership was decided upon to enable cross-border inward remittances to Sri Lanka using RippleNet. Cargills Bank has also decided to adopt xCurrent, Ripple’s enterprise software solution to ensure that cross-border transactions are safe and secure"

FWIW, XCurrent can utilize XRP.  article below: Aug 2018


https://ambcrypto.com/ripple-collaborates-with-cargills-bank-a-promising-change-for-sri-lanka/

[mekie]

I have looked for confirmation of a ban, and found nothing. But as others have pointed out and posted links to-the government has not banned bitcoin/crypto. What it has done is to issue a strong warning as to the risks and implications of crypto, such as "it's unregulated, peer to peer, no recourse if things go wrong, and the implications around AML, illegal activities , terrorist funding etc" so no ban, just the government responsibly pointing out the risks.

[qwerty1337]

banning bitcoin in a country is not a good decision, blocking bitcoin is makes the country is restricted for new technology from the outside.

Most likely, this is done due to the fact that no apparatus has been created to regulate the sphere of cryptocurrencies, and the prohibition of Bitcoin on Sri Lanka is temporary.

[PlusOne88]

Last past months Sri Lanka's Main Bank (Bank of Ceylon) was banned cryptocurrencies in Sri Lanka. What do you think is the reason for that ?

Surely this is a topic that needs to be resolved clearly as this creates a FUD. One word that can be destructive is enough to destroy many years of hardwork to let bitcoin live especially during this times of struggle for cryptocurrency. I would suggest to my fellow forum members to stay always on the positive side so as help bitcoin recover positively over time.

[denzkilim]

Are you sure that Sri Lanka's Bank of Ceylon banned bitcoin? I'm looking for an article that has this news but the results are poor.

This is one of their latest statement: April 16,2018.

Public Awareness on Virtual Currencies in Sri Lanka

They are giving warning to their people but there's no ban.

I think the OP doesn't understand well what does the public awareness means lol.
Take a look at it, I just quoted.

Public Awareness on Virtual Currencies in Sri Lanka
The Central Bank of Sri Lanka (CBSL) is aware of the growing interest in virtual currencies (VCs), both domestically and internationally.

The term “virtual currencies” is commonly used to refer to digitally created representations of value that are issued by private developers and denominated in their own unit of account. Common examples of virtual currencies are cryptocurrencies such as Bitcoin, Litecoin and Ethereum. Virtual currencies are not central bank issued currency.

Virtual currencies such as cryptocurrencies use decentralised peer-to-peer digital networks to authorize transactions. Due to the absence of a centralized authority such as a Central Bank to guarantee the value of the currency and regulate transactions, there is no recourse in the event of any user or transaction related issues or disputes. The value of virtual currencies is dependent on speculation and is not backed by an underlying asset or a regulatory framework. Due to this, virtual currencies may demonstrate major volatility. Similarly, there appears to be a high probability of virtual currencies being used in illegal activities. Further, though unintentional, their usage could amount to breaches of anti-money laundering and combating the financing of terrorism (AML/CFT) laws. Therefore, cryptocurrencies, in the present form, may pose significant risks in terms of financial, operational, legal, customer protection and security related risks to their users as well as to the economy.

It is hereby notified to the public that CBSL has not given licence or authorization to any entity or company to operate schemes involving virtual currencies, including cryptocurrencies, and has not authorized any Initial Coin Offerings (ICOs).

Published Date:
Monday, April 16, 2018

If you take a look at it and read it carefully there is no word about banning or anything like that or similar to that, it's just a public awareness just like in our country crypto currencies are not legalized yet but the government doesn't prohibit the use and possession of crypto currencies such as Bitcoin and other altcoins and actually, they also allowed an exchange platform to operate in the country, this platform serves as a wallet, crypto to fiat exchange and payment system for bills such as internet bill and many more.

[Jasad]

Last past months Sri Lanka's Main Bank (Bank of Ceylon) was banned cryptocurrencies in Sri Lanka. What do you think is the reason for that ?

the most logical reason for every country that prohibits no more than bubbles. especially in small countries like Sri Lanka. this is not surprising at all
and will not even affect the decline of bitcoin even if this rumor is true

[Ar.harry]

Their government doesn't want that their people should grow.  Because their commission will loss if their people invest in crypto because if people starts investing in crypto or bitcoin thrn their money will goes to bitcoin for the profit and the money is withdrawn from the bank.  The banks will gain loss by withdrawal of money then the government makes the laws that nobody vould invest in crypto so that to gain profits from the banks.  Unlucky peoples who cant be ablento invest in crypto for making money

[GoldenBell]

Simply because the government wants to better control the bitcoin market, the government wants to ensure that their interests are not compromised by the excessive development of bitcoin.

[elisabetheva]

Last past months Sri Lanka's Main Bank (Bank of Ceylon) was banned cryptocurrencies in Sri Lanka. What do you think is the reason for that ?

all countries clearly have their own problems and look at their domestic situation, because it is clear not to be detrimental to economic development, but perhaps as a developing country requires to learn more details.

[prehisto]

Last past months Sri Lanka's Main Bank (Bank of Ceylon) was banned cryptocurrencies in Sri Lanka. What do you think is the reason for that ?

What do you mean exactly, did they tell that they wont work with any company associated with crypto or there will be fines or something else?
Can you give us a reference to any press release if there is any.

[mirawantirinjana]

Oh god that is not good. After India now in Sri Lanka also. Sad for cryptocurrencies

it is unfortunate that Sri Lanka is the next country that has banned bitcoin, whatever the reason I am convinced that Sri Lanka aims to protect its citizens from the bitcoin price instability

[Saisher]

Oh god that is not good. After India now in Sri Lanka also. Sad for cryptocurrencies

it is unfortunate that Sri Lanka is the next country that has banned bitcoin, whatever the reason I am convinced that Sri Lanka aims to protect its citizens from the bitcoin price instability

Yes that is true but there are many sri lankan developer and involved in cryptocurrency just like their Indian counterpart, this is the only short term I'm sure when big countries adopt cryptocurrency they will follow, it's like a domino effect.

[SnapDown22]

If it's true that bitcoin banned in Sri Lanka than it's not a good news as before listen that already banned in india and Bangladesh these type of steps putting him back must be both authorities have to be clear both sides confusion.

I think Sri Lanka is lacking in technology at this time and I think bitcoin is not yet introduced and published so for me to ban sri lanka is normal, but if you miss the current technology don't blame the world