Cryptocurrencies are having a deep impact in countries and in the daily life of millions of individuals around the world. The market increased drastically during 2017 and this could have important consequences in different countries. Indeed, Japan’s GDP increased by 0.3% just because of the cryptocurrency rally. Other countries like Taiwan, are searching ways to reduce the risk to financial stability.
Taiwan May Implement Bitcoin Regulations
The cryptocurrency market was in a downtrend that called the attention of many governments all over the world. Many individuals are taking mortgages and incurring in debts in order to invest in a market that is highly volatile. In Taiwan, the cryptocurrency market has a big impact on the society. That’s why, a senior official has commented that they are preparing regulatory policies for the cryptocurrency market.
Taiwan may be searching a good regulatory approach to reduce a possible impact to financial stability. It is difficult to estimate how many individuals are investing in Bitcoin in Taiwan and how it may affect their own stability. But the Taiwanese government is trying to regulate the cryptocurrency market.
In a report released by the government, Taiwan is exploring different policies to tackle the influence that the cryptocurrency market may have on finance. The intention is to maintain stability in the case that there is a market collapse.
It is not clear whether the government will decide to legalize Bitcoin and cryptocurrencies as a means of payment or not. The intention may be to create some taxation guidelines around the market, as in many other countries. Regulatory institutions all over the world have been taking different measures in order to have a certain control in the market.
At the moment, Taiwan did not take any important regulation. Indeed, the cryptocurrency market is not regulated at all. In the coming months and during this year, we could see that Taiwan will start to implement some regulations. Japan has decided to legalize the market giving legitimacy to it and the results have been remarkable.