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Why Bitcoin is banned in many countries?

Why Bitcoin is banned in many countries?

Nowadays bitcoin is one of the most known crypto-coins in the world of digital currency. The use of bitcoin in different countries is increasing day by day. The value of this currency is rising so fast, which is the main cause of its popularity.

There are so many countries where this currency is used in many sectors. But there are several countries where its use has been declared illegal. Today we will know about bitcoins and discuss why it has been banned in several countries.

What is Bitcoin?

According to Wikipedia “Bitcoin is a cryptocurrency invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto and started in 2009 when its implementation was released as open-source software.” 

In short, bitcoin is a currency that can only be used digitally. It only exists virtually. You cannot see it or touch it. You can use it only in online market places, using some digital wallet apps. In these digital wallets, you can deposit your bitcoins and use them when you need them, but obviously on online platforms. 

How can I get bitcoins?

One can get bitcoins by buying them directly. There are some digital wallet apps from where one can buy it. You also can get them by selling something in exchange for bitcoin. 

Another option is bitcoin-mining. Actually, it is a way of bitcoin earning. It is a vast process, only professional miners can do it well.

On 08 January 2021, 1 bitcoin was equal to 38,954.70 USD! Was not it too much amount? And it is constantly rising. There is also a fraction of this coin. It is called Satoshi. The satoshi to bitcoin ratio is 100 million satoshis = one bitcoin.

Why bitcoin is illegal in several counties?

In 2009, Bitcoins appeared on the world currency market as a digital currency. Its transactions are entirely electronic or online and it is not the legal or official currency of any country. Investing in these cryptocurrencies is highly speculative and the market is unregulated.

Again it can be traded without revealing one's identity. So, its use can increase the number of crimes such as drug trafficking and arms smuggling. Bitcoin transactions are not easily controlled, so there is a risk of its use in money laundering. Moreover, many can use it as a gamble. Besides, the issue of cheating and its limited use in business should also be taken into consideration.

Countries where Bitcoin is banned or restricted

There are ten countries where bitcoin is declared it illegal. They are-

Afghanistan, Algeria, Bolivia, Bangladesh, The Republic of Macedonia, Saudi Arabia, Pakistan, Qatar, Vanuatu, Vietnam.

In some countries, this crypto-currency is restricted. The countries are-

China, India, Ecuador, Indonesia, Morocco, Zambia, Nepal, Egypt, American Samoa.

Today's world is dependent on digital technologies. So, we must adopt modern technologies, but first of all, we have to understand its techniques well. Bitcoin is becoming popular very fast. It needs to be kept under control in the countries where it is not banned. Internationally it is important to observe now.

BitCoin Earning A to Z

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