Cryptocurrencies have been gaining popularity in Asia, with investors flocking to digital assets in search of high returns.
South Korea has been a hotbed for cryptocurrency activity, with the country’s exchanges accounting for a large chunk of global trade volume. Japan has also seen a surge in interest, with the government recently legalizing Bitcoin as a form of payment. Visit yuanpay group for gaining proper knowledge about investing in cryptocurrencies.
China has been more cautious when it comes to cryptocurrencies, but there is still a large amount of activity taking place in the country. Investors in China have been turning to Bitcoin and other digital assets as an alternative to the volatile stock market.
With more and more people looking to invest in cryptocurrencies, it’s likely that the popularity of these assets will continue to grow in Asia.
Role of Cryptocurrency in Malaysia
Cryptocurrencies are digital or virtual tokens that use cryptography to secure their transactions and to control the creation of new units. Cryptocurrencies are decentralized, meaning they are not subject to government or financial institution control.
Bitcoin, the first and most well-known cryptocurrency, was created in 2009. Since then, hundreds of other cryptocurrencies have been created. Cryptocurrencies are often traded on decentralized exchanges and can also be used to purchase goods and services.
In Malaysia, cryptocurrencies are not recognized as legal tender but are allowed to be traded on approved exchanges. The Securities Commission of Malaysia has released guidelines for Initial Coin Offerings (ICOs) in an effort to regulate the fundraising process. Due to the volatile nature of cryptocurrencies, investors are cautioned to exercise caution when investing in ICOs.
Future Cryptocurrency in Malaysia
The Malaysian government has been supportive of cryptocurrency and blockchain technology. In 2018, the country’s central bank issued guidelines on how to regulate digital currencies. The guidelines were aimed at preventing money laundering and terrorist financing.
In March 2019, the Securities Commission of Malaysia (SC) published a framework for regulating digital assets. The SC is the country’s main regulator of securities and futures markets.
The framework defines digital assets as “any type of asset that is stored electronically on a distributed ledger or decentralized network”. This includes cryptocurrencies, tokens, and coins.
The SC said that it would regulate initial coin offerings (ICOs), trading of digital assets, and providers of digital asset exchange services.
Under the framework, ICOs will be subjected to the same rules as traditional securities offerings. This means that issuers will have to disclose information about their project and obtain approval from the SC before they can offer tokens to the public.
Trading of digital assets will also be regulated. Digital asset exchanges will have to be licensed by the SC and will be subject to the same rules as stock exchanges.
The SC said that it wants to create a “balanced and conducive ecosystem” for innovation while also protecting investors.
Role of Cryptocurrency in South Korea
Cryptocurrency is playing an increasingly important role in South Korea. In 2017, the country was responsible for more than 20 percent of all global Bitcoin trading volume. And as of December 2017, South Koreans were holding approximately $6 billion worth of cryptocurrency.
There are a number of factors driving cryptocurrency adoption in South Korea. For one, many young people are attracted to the high potential returns that can be generated from investing in digital assets. Second, there’s a growing belief that cryptocurrency will eventually replace traditional fiat currency. This is particularly true in light of the recent volatility in the Korean won.
Finally, there’s also a general feeling that cryptocurrency is a more efficient and transparent way of conducting financial transactions. This is leading more and more businesses to accept cryptocurrency as payment.
The South Korean government is also taking steps to support the country’s burgeoning cryptocurrency industry. In December 2017, the government announced a set of regulations that are designed to protect investors and prevent money laundering. The government is also working on a system that will allow taxpayers to pay their taxes in cryptocurrency.
All of these factors are likely to continue driving up demand for cryptocurrency in South Korea. As adoption grows, we can expect to see even more innovation and development in this space.
About The Author
Ashley Rosa
Ashley Rosa is a freelance writer and blogger. As writing is her passion that why she loves to write blogs related to the latest trends in technology and sometimes on health-tech as well. She is crazy about food.
