Bitcoin Crackdown has hit the Business in Bali

Nishanth Shetty

Nishanth Shetty

January 18, 2018 7:34 am

Bitcoin Crackdown has hit the Business in Bali | Coindelite News
2240 Total Views

The Business in Bali was hit after the Bitcoin Crackdown

After announcing a severe warning to “all parties” against any use of ‘virtual currency”, Bank Indonesia has now joined forces with the local police for preventing the bitcoin transactions when they take place in Bali. The island, which is also known as a famous holiday destination with a huge number of visitors spending both fiat and cryptocurrencies, has been now targetted by the authorities. According to Indonesian media and the crypto community in the country, the investigation is taking place in the businesses those which are accepting bitcoin.

Authorities Investigating the Illegal Transactions

Representatives of the Indonesian central bank and the national police force on the island have created a team for investigating on the cryptocurrency trading those are considered illegal by the authorities in Jakarta. They have already started collecting information about possible violations.

The crackdown in Bali arrives after BI declared bitcoin an illegal form of payment in the country. The financial organization told that digital currencies are banned in Indonesia. Rupiahs should be used for all payments and transactions that need money.

The prohibition statement arrived with ideas to quickly implement these rules:

“We are looking out for bitcoin transactions in Bali, particularly in tourist spots. We will take measures against non-rupiah transactions.”

The head of BI’s local branch Causa Iman Karana made the announcement and called the island as an attractive place for those who want to carry out the illegal transactions. karana told in Denpasar that the organization had already warned the citizens not to use cryptocurrencies since there are no authorities to regulate the transactions.

Businesses Can Be shut, Owners can be Taken to the Court

Members of the crypto community on the island quickly shared the news of the coming crackdown in social media. Warnings were posted regarding investigations which are expected to be carried out by bank officials and local law enforcement officers. Businesses could be suspended and owners have taken to court if they accept bitcoin payments. A villa has been reportedly closed down by inspectors.

The ban has been further detailed in a dedicated bank regulation No. PBI: 19/12/PBI/2017 covering the implementation of financial technology. Under the current law, any payment in Indonesia should be made in the national currency, the Rupiah.

The central bank official also mentioned the risks associated with bitcoin transactions, noting but the cryptocurrency had no “official administrator”. Money laundering, terrorism, and other criminal activities were included in the universal list of unwanted side effects.

Indonesians were notified regarding the restrictions long before BI issued its ultimate warning to for not buying, selling, or trading the virtual currency”. The attack on Bali shows that Jakarta means business. But what the crackdown means for the business, only time will show.

No Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

Here is what Bitcoin needs to Prove Before Goldman Sachs Would Invest

Bitcoin should Prove few things before Goldman Sachs would Invest Goldman Sachs says that it has found Bitcoin’s biggest problem. This week, a top Goldman Sachs investment strategist described what Bitcoin and other cryptocurrencies need to do to maintain their prices, which have recently bounced after a continued crash. Allison …

Tesla faces Cryptocurrency Mining Malware Attack

Hacker’s hit Tesla’s Cloud to mine Cryptocurrencies Electric vehicle maker Tesla has fallen into big trouble since the hackers company’s cloud to mine cryptocurrencies. On Tuesday, Cybersecurity software firm RedLock announced that hackers had exploited an insecure Kubernetes console, which they utilized to access computer processing power from Tesla’s cloud …

Ripple Partners with 5 New Clients around 4 Countries

Ripple collaborates with few more Banks and  Money Remittance Companies Ripple has announced its new partnerships with five banking and money transfer institutions across various countries. According to the reports, in the coming days, the two banks aú Unibanco from Brazil and IndusInd from India along with the money remittance …


Pin It on Pinterest

Share This