After introducing the first cryptocurrency in the market, it has become a new sensation in the trade market. Within just a decade, it has increased its market capitalization to over $200 billion. It has seeped into every significant field of work, and the area where cryptocurrency is most commonly used is the trade market.
Although it has been well over a decade and is used by several industries for financial transactions, it is still far from being considered a replacement for fiat currencies.
Cryptocurrencies are the decentralized currencies that are not controlled by a single authority. The members of the network are the owners themselves. Due to its decentralized nature, it’s yet to become a mainstream network for the transactions.
However, in the past couple of years, the use of cryptocurrency has undoubtedly increased in the developed countries. The cryptocurrency is famous among the countries whose fiat currency price evaluation comparatively too low compared to dollars. Countries like Finland, Denmark, South Korea, Canada are adapting to the use of Cryptocurrencies.
Some countries have found new ways of using cryptocurrencies to improve their financial standing in the world financial market.
What Countries have to say for Cryptocurrencies
Every country has its own belief in the usage and regulation of Cryptocurrencies. Some countries say for cryptocurrencies while others are against it. Every country is seeing the cryptocurrencies on an individual basis and self-gaining prospects.
Here are the views of the countries on Cryptocurrencies.
- The United States
Initially, the United States was against the regulation of the Cryptocurrencies. But has allowed the traders and the investors to trade at their risks. This decision was reasonably right enough for the traders who have made their careers in Crypto trade marketing. But after the historic event in 2017, when the price of the bitcoin touched $20000-mark. The US government finally realizes the impact of the cryptocurrency in the market. It soon started encouraging people to trade in cryptocurrency and even issued a policy that the Crypto traders and investors will be liable to pay taxes on their Crypto trade profits.
- United Kingdom
The United Kingdom was not in favor of the cryptocurrency. They had put a lot of restrictions on the trade of the cryptocurrencies. According to the United Kingdom, they will accept the cryptocurrency, if the jurisdiction of the cryptocurrency will be under the UK government. It will be the UK government that will control the flow of the cryptocurrency. Unfortunately, this led to an uproar in the market. And the regulation of the cryptocurrency become fierce in the UK trade market.
Unlike its fellow neighbor, the US, Canada does not hold any hard feelings for the cryptocurrency. Canada has maintained a friendly environment for the Crypto trade market and ensures that the Cryptocurrencies are not used for any illicit purposes. In Canada, Bitcoin and other Cryptocurrencies are viewed as assets. That means the transaction done with the help of the cryptocurrency is considered a trade transaction and the profi8rt tat gained by the interest as business income.
Australia has always said for Cryptocurrencies. According to the Australian Taxation Office (ATO), cryptocurrency is another form of currency that can uplift the country’s economy. The uses of the cryptocurrency do not mean that it is used for illicit purpose. The Australian government believes that cryptocurrency is similar to that of the fiat currency. If people want to use them for a good reason then there is no harm in regulating them.
- The European Union
Though the European government has followed the use of cryptocurrencies, it is yet to see any official outcome of their effort. They have not announced an official acceptance, regulation, or laws. Hence, this situation has created small colonies in the European countries where every region follows its protocol while handling Cryptocurrencies.
Other major countries
The other major countries are also in a stalemate state. They are still indecisive of the Cryptocurrencies regulation. Some of the countries have started experimenting with the use of Cryptocurrencies. Some countries have been neutral on the Cryptocurrencies. They are not regulating the currencies but are not considering then illegal.
By looking at how the Bitcoin is getting popular in remote and underdeveloped countries, we can soon see a cfd formula.