Bangladesh to study digital currency as an alternative to crypto

Finance Minister AHM Mustafa Kamal revealed the plan in the proposed budget for the financial year 2022-23 in parliament on Thursday, highlighting the growing risks in the use of virtual currencies, such as cryptocurrency.

But, he added, many central banks around the world are working to launch digital versions of their currencies as an alternative to cryptocurrencies to facilitate virtual transactions and to encourage startups and e-commerce businesses.

“As a result of the time-befitting steps of the present government, the coverage of the internet and e-commerce in the country has increased tremendously,” Kamal said, emphasising the need for virtual currencies.

The Bangladesh authorities have so far been sceptical about the use of cryptocurrencies, such as bitcoin, ethereum and ripple. A number of people have been arrested for illegal use of cryptocurrencies in crimes.

In July 2021, Bangladesh Bank reiterated its stand on cryptocurrencies and asked everyone to refrain from their transactions and promotions to avoid financial and legal risks.

It said the Foreign Exchange Regulation Act 1947 does not support use of such currencies either and online transactions in these…

Read more at bdnews24.com

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