Malaysia Will Not Adopt Bitcoin as Legal Tender, Government Says

Malaysia’s deputy finance minister has clarified that the federal government is not going to undertake cryptocurrency as authorized tender. “Cryptocurrencies like bitcoin should not appropriate to be used as a fee instrument resulting from numerous limitations,” he stated.

Bitcoin Will Not Be Legal Tender in Malaysia, Says Deputy Finance Minister

Following studies {that a} high-ranking authorities official has proposed adopting cryptocurrency as authorized tender in Malaysia, the federal government clarified in parliament Thursday that it has no intention of constructing cryptocurrency authorized tender within the nation, Bloomberg reported.

Deputy Finance Minister Mohd Shahar Abdullah stated in parliament:

Cryptocurrencies like bitcoin should not appropriate to be used as a fee instrument resulting from numerous limitations.

He named worth swings and publicity to cyber threats as examples of the restrictions of cryptocurrencies.

His assertion echoes one other he made earlier this month about cryptocurrency. “Digital belongings, reminiscent of bitcoin and ethereum, should not appropriate for use as a fee instrument,” the deputy minister stressed, including that “In basic, digital belongings should not a retailer of worth and an excellent medium of alternate.”

The deputy finance minister additional informed parliament Thursday:

The rising know-how and fee panorama have prompted Bank Negara Malaysia to actively assess the potential of … the central financial institution’s digital forex.

Earlier this week, Deputy Communications and Multimedia Minister Datuk Zahidi Zainul Abidin reportedly proposed adopting cryptocurrency as authorized tender in Malaysia. However, there are conflicting studies about what he really stated. According to Malaysian nationwide information company Bernama, the minister merely proposed legalizing non-fungible tokens (NFTs) to spice up participation within the crypto sector.

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