Most Asian countries are lagging behind in legalizing the use of cryptocurrency

[macson]

I think your thread title is misleading because 77.7% of Asian countries recognize cryptocurrencies as legal. Only a few countries don’t, so we can say most of Asia is quite advanced in this area.

Regarding countries that don't legalize them, they have their own considerations, as it's their right to impose bans. Even though cryptocurrencies can contribute to tax income and economic growth, each country has its own perspective.

[uchegod-21]

As much as I encourage everyone to always respect the law, in some cases, the law can be unfair. It is highly unfair for some governments to still restrict their people from using Bitcoin. Making it illegal says a lot about how the government chooses to exercise its power over the citizens who look up to them. Legalizing Bitcoin does not automatically mean it becomes legal tender; no, it simply gives people the free will to invest in Bitcoin and use it within the confines of the law.

Laws are dynamic; they adjust over time,  relax, the government's stance on Bitcoin will still change later in the future. However, if anyone still chooses to ignore government restrictions and go ahead with using Bitcoin, they must, as much as possible, try to reduce exposure, knowing full well that there are punishments for offenders. Bitcoin users all over the world have faced these restrictions at one time or another from their governments before, yet people have successfully used it even with all the restrictions. Asian countries are not the only ones affected; a lot of countries are still yet to fully embrace crypto.

[Darker45]

Im not sure about other Asian countries how strict they are but definitely theres a lag on our country (Philippines) when it comes to cryptocurrency regulations. Though it being monitored and improved theres still a lot of loop holes to fix and should be consider when it comes to a rules and regulations.

To be honest, I think I'm loving it this way, at least to a certain extent. The incompetence, laziness, and mediocrity of this country's regulatory bodies are probably working in favor of us, in general.

For one, we remain anonymous because there isn't a strong policy requiring Bitcoin or crypto holders to declare their assets.

Second, we're not paying any tax for whatever amount we own. We can even convert Bitcoin to fiat and vice versa anytime without worrying about capital gains.

Third, can you imagine the amount of hassle when you take note of every detail every time you spend your Bitcoin--the amount, the date, that which you paid it for, whether it was spent higher or lower than when you acquired it, and so on? We don't have to go through all this right now.

All of this we're enjoying precisely because of those loopholes. I don't want them to get fixed. In the first place, nothing's broken. Getting fixed here simply means to make things work according to the whims of powerful and abusive institutions.

[Oasisman]

Other regions in Asia cannot claim such progress and are looking at the emergence of crypto currency with fear. According to Nepal, Bangladesh and Kyrgyzstan, using or trading virtual currencies is highly illegal in Asian countries and there are strict penalties for it. If you search you will find that most people in all these countries are dreaming about crypto or Bitcoin.

So the governments of those countries are not thinking much about its legality but most of the people there have Bitcoin in their pockets. To me this is not the right decision of the government rather by declaring the use of crypto legal the government can continue to tax it if it wants. Again, it will create a good source of income for the people living there to make a living.

We are dominated by old politicians which they already know those traditional financing, that's why its expected that they are skeptical on new technology introduce to them.

Also unfortunately some of their actions are been bound not only by their political but also with their business interest.

This is how important for people to choose young smart leaders now, because they are the one can easily adopt on the changes happening in the world. If people Asian or maybe other regions will elect those smart people with knowledge about crypto maybe we could see some good growth of adoption with this coins.

This is true. Though in our country, Bitcoin has already been recognized and legalized. But it seems the government has done it because they know they can't fully make it illegal, since there are many ways to access it, and they are after the taxes they can collect from local exchanges, retail traders, and other crypto enthusiasts who earn through cryptocurrencies. So, that means they left every other thing the people needed to secure their crypto assets. They don't have any preemptive plans like proactive anti scam protection, aggressive crypto education, and other securities to identify and shut down "pump-and-dump" schemes and fraudulent platforms in real-time.

Therefore, the PH only legalized Bitcoin so they can get taxes from the people who use it. In fact, we currently don't have clear and fair taxation rules on Bitcoin and other cryptos yet. Well, what else would you expect from a country full of old and corrupt politicians?
 

[aiying715]

That is my view: as a gathering place for developing nations, Asia lacks both regulatory frameworks and technical means, making it impossible to achieve the level of control akin to directing one's own arm and fingers. Therefore, conservatism is currently the only viable management strategy—one that neither opposes nor embraces, but quietly observes how events unfold, which is itself a strategy.

[henry_of_skalitz]

That is my view: as a gathering place for developing nations, Asia lacks both regulatory frameworks and technical means, making it impossible to achieve the level of control akin to directing one's own arm and fingers. Therefore, conservatism is currently the only viable management strategy—one that neither opposes nor embraces, but quietly observes how events unfold, which is itself a strategy.

To go further, nations need to change their stance.. Because they would still lack the mobility to take proper decisions..

[Mate2237]

There is no argument about the beneficial effects when it comes to the use of crypto currency. Crypto currency today is a source of livelihood to millions across the world. Any how the government wants to look at the use of crypto currency both the citizens and the government will be on benefiting from the use of crypto. From what I think these Asian countries are just afraid of the freedom that crypto currency such as Bitcoin will offer their citizens if not I don't see the reason why a country will still pay a blind eyes to the use of crypto currency.


Most Asian countries are poor and is just struggling so I expected that crypto currency is one thing that these countries would have opened their hands to. Because the use of crypto currency is a good way of building wealth especially for poor countries because the citizens will use Bitcoin to their advantage.

[AVE5]

So the governments of those countries are not thinking much about its legality but most of the people there have Bitcoin in their pockets. To me this is not the right decision of the government rather by declaring the use of crypto legal the government can continue to tax it if it wants. Again, it will create a good source of income for the people living there to make a living.

I'll advice you take some pills over the strict regulations of the governments in those regions but then, criticisms is fine to air your opinion where the governments aren't considering the effects of the masses when making decisions especially ones that has to do with economy or financial infrastructures.
Bitcoin or crypto currencies had seemed to be unacceptable for any governing authorities to approve it legalizations in their respective countries or regions because they're skeptic about the trust of decentralization, technicalities and as well the doubt of trusting it when the founder (Satoshi Nakamoto) everly remains anonymous after launching the Bitcoin.
The skepticism of misleading their citizens from risking their funds and how they don't create such an avenue for scammers to do their evils since they had also seemed the technology as alternative to do their illegal financial activities.
Of course governments with better understanding about blockchain and technology will only push forward to legalize it.

Some governments also considers to approve it legal in their countries but arent officially approved where the government financial sectors would adopt but giving privilege for individuals opinions. My country Nigeria is a typical example of this term.

[Smartprofit]

Cryptocurrencies are essentially money. However, Asian (and other) countries already have government-issued money (fiat money). So what's the end result? After legalizing cryptocurrencies, they will simply become bad money. And no one will need them... Because legalizing cryptocurrencies is usually associated not only with taxation, but also with the introduction of KYC procedures, banning non-custodial wallets, banning anonymous and privacy coins (like Monero and ZCash), etc.

All over the world, cryptocurrencies are used in situations where fiat money cannot be used. Of course, the best option is for cryptocurrencies to be in a "gray" zone, not a "black" one. Because when someone is sent to prison for using or storing cryptocurrencies, that's really bad.🙅

I think this is the stance that some countries actually think, they are that if bitcoin or cryptocurrency is actually legalized that’s officially calling it a legal tender and at this moment some of the users of even their fiat currency will actually start preferring the use of cryptocurrency then their fiat currency and they actually worry it could affect the countries main currency and it’s one of the reason why they are doing everything to make sure that cryptocurrency doesn’t sees the light of the day.

I usually say cryptocurrency is not here to compete with just any other assets it’s just here to been an alternative currency or even asset to old or traditional currencies and yes I agree with you that it is seriously bad to say some is arrested due to the use of it, so it’s not about full legalization even less restrictions are better and doesn’t mean that fiat currency will be turn away.

Maybe they don't have someone who is influential enough in the government who could submit bills and have people to back them up in other ways for them to pass read and be made law, but on the other hand, do we really need these countries to pass laws which will allow their people to trade and hold crypto just because it's a means for them to generate revenue through tax? If they are going to consider crypto only because an addiction means of generating revenue, don't you think the laws will be very strict, and they will tax their citizens too much in an unfair manner?

The decision of this Middle East countries or rather to be specific the Arab countries are most influenced by their religion belief and they do not see bitcoin religiously as clean money and it’s the reason. All though most of them have beginning ti see beyond this, it’s one of their strong hold

The funniest thing is that for a long time, governments around the world assured their populations that Bitcoin was a scam, a bubble, and a Ponzi scheme.

However, some time passed, several years, and it became clear to everyone that denying Bitcoin's value was simply foolish. And it was at this point, incidentally, that it became clear that government officials and their families had already purchased large quantities of Bitcoin (the only question is: why did they do this if they believed Bitcoin was a bubble and a Ponzi scheme?)

Okay... Let's say they saw the light... So now they no longer call Bitcoin a scam, but they still don't want people using it. They are ready to legalize Bitcoin in their country, but only under certain conditions.

In particular, they require cryptocurrency declarations, tax payments, the use of only custodial wallets, citizens undergoing KYC and AML procedures, etc.  It all sounds like a story about a farmer who planted potatoes in his field, but his neighbor didn't help him, laughed at him, and did everything he could to harm him. Then autumn came, the potatoes grew, it was time to harvest, and the neighbor came running with a spoon and plate at the smell of food. And he demands most of the harvest for himself. And on what grounds, exactly? 🧑‍🌾

[Lucius]

~snip~
It's actually somewhat hilarious seeing a superpower like China trying and failing to ban different parts of the crypto ecosystem over the years in order to make Digital Yuan more popular.

There's nothing hilarious about that when you consider that China is a communist country, and the communists want absolute control over the finances of their citizens, because that's one of the main ways they continue to keep them on a short leash. Everything that is decentralized and that can harm their management system is on the black list, and that includes many popular services from the West - see the list -> List of websites blocked in mainland China

[tbct_mt2]

The funniest thing is that for a long time, governments around the world assured their populations that Bitcoin was a scam, a bubble, and a Ponzi scheme.

However, some time passed, several years, and it became clear to everyone that denying Bitcoin's value was simply foolish. And it was at this point, incidentally, that it became clear that government officials and their families had already purchased large quantities of Bitcoin (the only question is: why did they do this if they believed Bitcoin was a bubble and a Ponzi scheme?)

These funny fuds and attacks against Bitcoin can be easily debunked if people spend some time for searching.

There are enough resources to debunk such fuds very easily, just whether people want to learn and verify information they read or are exposed to. If they have right approach of verify information especially important thing which can opens a golden opportunity or change their lives, they will do enough searching for what they're curious about and surely will get good resources for debunking fuds.

Like with AI, if they ask AI like "Is Bitcoin a ponzi scam?" The answer from AI is good enough.
If they don't trust AI answer, search more and find more.

[lionheart78]

So the governments of those countries are not thinking much about its legality but most of the people there have Bitcoin in their pockets. To me this is not the right decision of the government rather by declaring the use of crypto legal the government can continue to tax it if it wants. Again, it will create a good source of income for the people living there to make a living.

Each person has their on view and point of interest.  The government that are hostile to Bitcoin have their own reason why they are not accepting Bitcoin.  Most of them don't want to loss monetary control, since Bitcoin is decentralized by nature, no group have authority over it and that is the biggest reason why these Bitcoin-hostile country are banning BTC.  Aside from that most of these countries are stuck  to the idea that Bitcoin is used for illicit activities, thus, they think that they are protecting their citizen by blocking the adoption of Bitcoin.

This article clearly explain Why governments are cracking down on crypto

[buwaytress]

Show me one Nepali or Kyrgyz who's been facing these... severe consequences... for using Bitcoin.

I'm not even going to look it up. I've seen this FUD so often -- these states aren't interested in cracking down on you for owning a few satoshi, never mind using it to pay for things. Commercial use though? Any kind of business would be wise to pay their tax dues, or not conduct commerce where it's illegal. These "Asian" countries also won't touch P2P.

Don't believe it? Verify yourself and look for these currencies on a P2P place. Surprise yourself =)

[Faisal2202]

Other regions in Asia cannot claim such progress and are looking at the emergence of crypto currency with fear. According to Nepal, Bangladesh and Kyrgyzstan, using or trading virtual currencies is highly illegal in Asian countries and there are strict penalties for it. If you search you will find that most people in all these countries are dreaming about crypto or Bitcoin.

So the governments of those countries are not thinking much about its legality but most of the people there have Bitcoin in their pockets. To me this is not the right decision of the government rather by declaring the use of crypto legal the government can continue to tax it if it wants. Again, it will create a good source of income for the people living there to make a living.

I recently read a topic in which OP mentioned that only 7 countries in the world have not unbanned crypto yet, and Bangladesh was in it, can't remember the other two now. Anyway, the point is, there are not a lot of countries left to join the crypto race and these countries will eventually join too, I checked, and you are wrong about Kyrgyzstan, they have not banned crypto and they have rules for it too but you are right about the other two.

I am sure the reason is the change of government, because a year or two ago, Bangladesh was suffering from corrupt leaders and the youth and every single citizen fought against the army, and the leader and changed the regime and the same thing happened in Nepal too, so they are a bit unstable to make crypto-related decisions.

In the future like by 2030, I think they will also catch up. Although people in these countries are earning a lot of money from internet so it is possible that they are investing in crypto too.

[bhadz]

Other regions in Asia cannot claim such progress and are looking at the emergence of crypto currency with fear. According to Nepal, Bangladesh and Kyrgyzstan, using or trading virtual currencies is highly illegal in Asian countries and there are strict penalties for it. If you search you will find that most people in all these countries are dreaming about crypto or Bitcoin.

So the governments of those countries are not thinking much about its legality but most of the people there have Bitcoin in their pockets.

That is true, even with restrictions from the governments, there are citizens that are involved and invested to Bitcoin but they have to hide and remain lowkey. Because it's one way for them to get out of poverty and the same goes with my country. Although there is no restriction and more countrymen of mine are investing, our government starts to filter out exchanges that we can use so it's a different problem for us yet, an involvement of government giving us less choice.

To me this is not the right decision of the government rather by declaring the use of crypto legal the government can continue to tax it if it wants. Again, it will create a good source of income for the people living there to make a living.

Bitcoin is an investment and there's still a misunderstanding that it is the one that provides a source of income. It has a value but, some might misunderstood that it can create a living.

[Asiska02]

But this is actually the same for many countries that have mass use of people using cryptocurrencies. The government hasn’t yet legalized it in the country but people still use them and own them and they use it for transactions where needed even though the vast majority use it for the purpose of investment. As long as the government doesn’t penalize those that use the currency, they should continue using it and make the best out of it, just maybe in the future the government will find a reason to legalize it and make it a tax entity also. Those countries that do not have a yes or no to using bitcoin are the ones enjoying more the benefits of owning this digital currencies.

[savetheFORUM]

~snip~
It's actually somewhat hilarious seeing a superpower like China trying and failing to ban different parts of the crypto ecosystem over the years in order to make Digital Yuan more popular.

There's nothing hilarious about that when you consider that China is a communist country, and the communists want absolute control over the finances of their citizens, because that's one of the main ways they continue to keep them on a short leash. Everything that is decentralized and that can harm their management system is on the black list, and that includes many popular services from the West - see the list -> List of websites blocked in mainland China

To be fair, when you have an authoritarian regime it's clear that it's not going to be easy to rule as a dictatorship by giving people freedom lol. I mean we are talking about a country that is a better version of USSR basically, not fully communist, but everything is under control of the government and only can do whatever they let you do. This is why there are good sides to them, which allows them to grow, but there are also bad sides for the regular people living there.

It's basically a way where government makes the country better, while citizen individually gets to live in a country where he doesn't have freedom. Richer for sure, but not free will, and bitcoin is banned because of this reason and would be hard to let it be.

[dzungmobile]

To be fair, when you have an authoritarian regime it's clear that it's not going to be easy to rule as a dictatorship by giving people freedom lol. I mean we are talking about a country that is a better version of USSR basically, not fully communist, but everything is under control of the government and only can do whatever they let you do. This is why there are good sides to them, which allows them to grow, but there are also bad sides for the regular people living there.

It's basically a way where government makes the country better, while citizen individually gets to live in a country where he doesn't have freedom. Richer for sure, but not free will, and bitcoin is banned because of this reason and would be hard to let it be.

Such dictatorship nations soon will be collapsed and democracy will appear, blossom and give people there better life. It's natural political selection in any nation and the human civilization history proves this fact over many centuries and in many countries. China has been under the communist party and the Chinese will soon have to make their own political revolution for getting their nation back to the people.

Such communist parties and dictators only care about their party's benefit, their leader's benefit and family benefits while citizens are always at the bottom and suffer a lot of pain from finance, social discrepancy and the other things.

[WatChe]

Each person has their on view and point of interest.  The government that are hostile to Bitcoin have their own reason why they are not accepting Bitcoin.  Most of them don't want to loss monetary control, since Bitcoin is decentralized by nature, no group have authority over it and that is the biggest reason why these Bitcoin-hostile country are banning BTC.  Aside from that most of these countries are stuck  to the idea that Bitcoin is used for illicit activities, thus, they think that they are protecting their citizen by blocking the adoption of Bitcoin.

This article clearly explain Why governments are cracking down on crypto

When it comes to decentralisation, there is not even a single country that is willing to accept the decentralised Bitcoin. The countries where Bitcoin is legalised are the one where governments have first formulated necessary regulations that allow governments to have control over Bitcoin activities going on in the country. There is difference between Bitcoin in your non-custodial wallets versus the one that goes through a centralised exchange where you have performed KYC. 

[Kelward]

I believe that it is only a matter of time before every country in Asia, and in other continents that have banned cryptocurrency or where they are not banned but are not crypto friendly will turnaround to accept the inevitable that cryptocurrency have come to stay no matter their stance on it. Remember that many countries where Bitcoin is now legal where once against decentralization and they later saw the need to allow it including whales that criticized it but are now holding, I wouldn't be surprised if in the future almost all countries in the world including Asians will hold Bitcoin as their strategic reserves store of value.