As you already know, cryptocurrencies are no longer a taboo subject. Not a long time ago, there was a group of people that believed Bitcoin and other digital currencies are only a scam that will convince people to spend their money. However, things have drastically changed, and cryptos have become one of the most attractive places where people can invest their money.
Bitcoin, on the other hand, is breaking all the records when we speak about value. Everything started to change since the beginning of this year, and there are no signs the same trends won’t continue.
There are two reasons why everything started to go in the right direction. The first one is pandemic without any doubt. Many business fields around the world started to become uncertain. People needed something that seemed safer. On the other hand, another reason why Bitcoin’s price is jumping is the legality of the entire world. Websites like advfn.com analyzed the countries that are backing up Bitcoin. They are adapting the financial laws that will ensure everything around BTC and other less popular digital currencies is legit.
Yet, is the situation identical in all parts of the world? Unfortunately, the answer to that question is no. Some countries banned Bitcoin. You can’t buy, sell, and invest BTCs if you are a citizen of these countries.
Okay, every government has the right to establish laws that will protect its citizens. The question is – why are some countries doing that when BTC is becoming stronger and stronger every single day? Well, the answer to that question requires in-depth analysis. Because of that, let’s explore this subject together and find some helpful answers.
Some Countries Simply Can’t Regulate Them
European Union, USA, and other countries are making law changes based on the happenings in the world. However, that doesn’t mean the same scenario is visible in all parts of the world. Many countries and their financial institutions simply can’t regulate and monitor Bitcoin and other digital currencies. Without the necessary laws and adequate control, people start to use cryptos for different bad purposes (mostly associated with money laundry).
These countries are aware of the popularity that Bitcoin is experiencing right now However, the control of the financial system is mandatory for every country. Because of that, many of them have simply banned them. Logically, that doesn’t mean the same laws will remain forever. Things may change in the future, but we will all have to be patient and wait for that moment to happen.
Many people are probably confused when reading this reason. They are not confused because they believe this reason does not have any sense. We can all agree it a bit challenging to find a link between religion and digital currency. However, it seems that some connection does exist and it is especially visible in Saudi Arabia.
The financial authorities in that country believe that Bitcoin is incompatible with Muslim law. That may seem strange for many people, but we simply need to respect the laws of other countries.
Some Countries Claim a Lot of Money Is Leaving the Country
This probably seems like a more reasonable option. As previously mentioned, control over the financial system needs to exist. That is the reason why countries such as Bolivia and Iceland decided to ban cryptocurrency. Both countries have the goal to make the national economy stronger. They want to support people that are willing to make investments inside the country’s borders. Because of that, they decided to ban Bitcoin as well as other digital currencies.
Once again, this doesn’t mean things will not change in the future. People only need to understand that some governments have a different method of work, that’s all.
Bonus: Countries that Banned Bitcoin
Iceland, Bolivia, and Saudi Arabia are not the only countries that decided on this move. There are a few more of them that did the same. Despite that, many countries consider Bitcoin legal, but they still haven’t managed to adapt to the financial laws to the new payment method.
Europe is a continent where digital currencies, in general, are recognized as legit payment methods. However, one small country refuses to follow the latest trends. Despite Bitcoin, Ethereum and Litecoin are also illegal in this small country. Whenever someone makes a crypto transaction in North Macedonia, the national bank will consider it as criminal activity. Despite that, the Central Bank of North Macedonia notified its citizens that investing in digital currencies comes with a high level of risks. The institutions often highlight there are many scammy exchanges that can steal their money.
China is probably the most confusing country in the world when we talk about Bitcoin. Many years ago, the Chinese government decided to ban ICOs. However, in the meantime, there were some rumors that even mining operations of Bitcoin are going to be banned. That would be a tough decision for the entire crypto world because China is one of the countries where most of the miners are located.
Yet, it seems that China has some other plans. As mentioned, many countries are trying to protect their national economy, and China plans to develop its own digital currency that will be an alternative to Bitcoin. That is probably the main reason why decided on that move.
Morocco may be the least crypto-friendly country in the world. In case you own, sell or buy Bitcoin, you will be considered a criminal. That means you will go to jail if you decide on doing something like that. In this country, there are big chances that things will never change because the government has quite a negative opinion about digital currencies in general.
There is a good reason why we decided to highlight the countries that banned Bitcoin. Some people are still suspicious and they are not sure whether investing in Bitcoin is good or not. When they see that some countries banned the most popular crypto, that seems like a red flag for them. However, every government has its own reasons. You should focus on those places where Bitcoin is completely legal.