June 7, 2018

Vietnam Proposes Import Ban on Cryptocurrency Mining Hardware

Get exclusive analysis and cryptocurrency insights on Hacked.com for just $39 per month.

Vietnam’s Ministry of Finance (MoF) has proposed a sweeping, albeit temporary, ban on the import of cryptocurrency mining equipment, according to local reports this week.

The proposal for the blanket ban was first made by the finance ministry on Monday, with the government body claiming it’s “difficult to regulate” the new cryptocurrencies and forms of payments in tokens created by mining hardware.

According to the Hanoi Times, the drastic curb is seemingly in reaction to a comprehensive $660 million crypto fraud that conned an estimated 32,000 investors.

The fallout from the scam, which involved two allegedly fraudulent initial coin offerings (ICOs), saw the office of Vietnam’s prime minister issue a directive ordering government authorities including the central bank and several ministries to increase scrutiny into “activities related to bitcoin and other cryptocurrencies” in April 2018.

A roughly translated report from local publication Taichinh Vietnam added:

Therefore, to prevent other [similar] possible events in the immediate future, the Ministry of Finance proposed to apply suspension measures toward importing the mining equipment.

According to figures from Vietnam Customs, over 9,300 mining rigs were imported into Vietnam in 2017. As of April 2018, Vietnam had already imported 6,300 crypto mining rigs in comparison to last year’s overall total, according to VNExpress.

Despite mid-2017 reports that Vietnam was preparing to legalize cryptocurrencies like bitcoin, the central bank did not include bitcoin among a list of recognized non-cash payment methods, outlawing cryptocurrencies in the process.

“[A]ccording to the provisions of the law, bitcoin and other virtual currencies are not lawful means of payment in Vietnam,” read an excerpt from the central bank’s statement in October 2017. “The issuance, supply, use of bitcoin and other similar virtual currency as a means of payment is prohibited in Vietnam.”

The proposed law came into effect earlier this year with the added threat of criminally prosecuting adopters who use cryptocurrency for payment, facing fines up to $9,000.

Featured image from Shutterstock.

Follow us on Telegram.
Advertisement

Published at Thu, 07 Jun 2018 10:35:14 +0000

Mining

You might be interested in …

May 23, 2018

Overstock.com’s t0 to Launch Regulated Security Token Exchange

bitcoin News Overstock.com’s t0 to Launch Regulated Security Token Exchange Overstock.com’s Tzero is planning to launch a regulated exchange for security tokens in collaboration with Box Digital Markets. The companies will seek the approval of […]

March 30, 2017

BitPesa & BitBond Jumpstart Bitcoin Blockchain Loans to Kenya

German Blockchain loans provider BitBond has partnered with BitPesa to facilitate payments directly to Kenya mobile accounts.

BitBond: Sub-Saharan Africa is 10% of Our User Base

The international partnership comes as Sub-Saharan Africa grows to 10% of BitBond’s user base and BitPesa’s popularity in its native Kenya continues.

BitBond CEO Radoslav Albrecht said in a blog post Tuesday:

This means that a small business owner from Kenya can receive loan funding from investors from all over the world via Bitbond and have the funds paid out to his mobile money account in 20 minutes.

Smaller African enterprises’ lack of access to mature funding options has become a focus in recent times. In catering specifically to businesses, BitBond hopes to provide a major overhaul to the local ecosystem using the Blockchain and bitcoin as a backbone.

Focus on Developing Market Financing

Earlier this month, Daimler hinted at the possibility of considerable expansion into African markets following its acquisition of a European cryptocurrency transmitter business.

The concept is likely to involve similar facilitation of funding access for local businesses – specifically those in the automotive transport sector – helping resolve the current status quo where loanshark-like operators abound.

“The major problem observed in the automotive sector is lack of adequate financing facilities,” Ethiopian financial services company director Eskinder Desta told industry magazine Autconomy in an article discussing Daimler’s move.

Across the world’s developing economies, a reported 2 billion individuals and 200 million businesses lack the sort of funding options available elsewhere.

“This is an unprecedented level of innovation and convenience in the entire online lending space,” Albrecht added.

Blockchain Channels International Remittance Interest

BitPesa offers a raft of cashing out options on the consumer end, first and foremost via Kenyan mobile accounts, the analog equivalent of which – M-Pesa – has held a consumer monopoly for years in lieu of significant banking penetration.

The startup is seeing continued international interest in its remittance functionality. In February, Japanese-Kenyan company Africa Incubator joined up in order to expedite payments to and from the Far East.

“We are always excited to partner with companies that make doing business in Africa easier and more efficient,” BitPesa’s CEO Elizabeth Rossiello continued on the BitBond deal.

Our customers are businesses looking to grow across the continent and beyond. Better access to efficient financing is a tremendous way to boost their growth.

What do you think about BitBond’s plan to increase Blockchain loans to Kenyans? Let us know in the comments below!

Images courtesy of Shutterstock, Bitpesa, Bitbond

The post BitPesa & BitBond Jumpstart Bitcoin Blockchain Loans to Kenya appeared first on Bitcoinist.com.

March 20, 2019

Using Social Media For Your Business

Using Social Media For Your Business Just 20 years ago, targeting new customers required businesses to spend thousands of dollars on advertising campaigns. Since the advent of the internet, reaching out to your customers has […]