Crypto Regulations in Bhutan
Bhutan does not have any specific laws or regulations regarding Bitcoin. However, the central bank of Bhutan issued a warning in 2014 stating that virtual currencies, including Bitcoin, carry financial, legal, and security risks.
Given the lack of regulation in this area, it is advisable to exercise caution and consult with a legal or financial advisor before investing in Bitcoin.
Source: Hardware Times
Bhutan’s stance on Bitcoin is similar to that of China and India – the government doesn’t recognize Bitcoin as legal tender but hasn’t taken any steps to ban it.
Source: Hardware Times
Recently, cryptocurrency has been the buzzword in the world of finance and Bhutanese seem to be getting fast interested in the concept of cashless transactions as well. They are using various mobile apps and sharing the chain and network.
However, according to the Chief Executive Officer (CEO) of Thimphu Techpark, Dr. Tshering Cigay Dorji, cryptocurrency is not a legal tender in Bhutan.
“That means they cannot be used in Bhutan legally,” he said.
A cryptocurrency is a digital or virtual currency that is secured by cryptography and they are generally decentralized networks based on blockchain technology.
Source: Business Bhutan
To take advantage of finance digitalization, Bhutan needs to take the lead in allowing regulated digital assets to thrive in the local economy, while also augmenting its digital infrastructure capabilities to leverage the disruptive digital asset economies paradigm that is presently sweeping the globe. In this vein ESCAP has provided its technical assistance to strengthen Bhutan’s capital market since 2017 and contributed to the recent issuance of the nation’s first sovereign bond. In addition, the Royal Securities Exchange of Bhutan has recently requested ESCAP’s further assistance in the digitalization of the capital market.
As a part of ESCAP’s technical assistance to Bhutan, this national conference aims to enhance the understanding of finance digitalization among key stakeholders in Bhutan, including the Royal Securities Exchange of Bhutan, the Ministry of Finance, the Royal Monetary Authority of Bhutan, the National Pension and Provident Fund, other Government agencies, development/commercial banks, insurance companies and institutional investors. It will emphasize experiential learning and the exchange of information with policymakers, practitioners, and experts.
Source: Unescap.org
Not Available
The most popular way to buy Bitcoin in Bhutan is through one of the many exchange booths that have sprung up around the country. These booths typically offer good rates and allow tourists to pay for their Bitcoin using a variety of methods, including credit cards and cash.
Another popular option for buying Bitcoin in Bhutan is through online exchanges. There are a number of reputable exchanges that operate in the country, and they offer a convenient way to buy Bitcoin without having to go through a traditional exchange booth.
Whatever method you choose to buy Bitcoin in Bhutan, it is important to remember that the price of Bitcoin can fluctuate quite significantly. As such, it is important to keep an eye on the market and be prepared to buy or sell when the time is right.
Source: Retail Insider
Not Available
Not Available
Not Available
In line with the provisions under Section 362(e) of the Financial Services Act of Bhutan 2011 and Sections 8 (d), (e), and 9 (l) of the Royal Monetary Authority Act 2010, the Royal Monetary Authority (RMA) hereby formulates and promulgates the said regulatory sandbox framework for mining cryptocurrency.
In line with the provisions under Section 362(e) of the Financial Services Act of Bhutan 2011 and Sections 8 (d), (e), and 9 (l) of the Royal Monetary Authority Act 2010, the Royal Monetary Authority (RMA) hereby formulates and promulgates the said regulatory sandbox framework for mining cryptocurrency.
Firstly, the sandbox shall serve as a formal regulatory framework to test cryptocurrency mining in a live environment in the country, subject to certain safeguards and oversight, and for a limited time under the supervision of the relevant regulators in a controlled environment; Secondly, the regulatory sandbox will assist RMA to study and obtain relevant inputs to implement necessary regulatory reforms, while preserving the consumer protection and safeguarding against risks in the financial sector and the economy posed by emerging technologies and products, such as cryptocurrency; and Thirdly, to assess the viability of cryptocurrency mining as a new investment avenue for Bhutan, given the country’s low-cost electricity and suitable climatic conditions.
The cryptocurrency regulatory sandbox seeks to realize the following objectives: 1. To ensure that cryptocurrency mining strictly complies with the country’s relevant laws and by-laws in vogue; 2. To regulate and supervise cryptocurrency mining and trading activities to ensure that they do not pose any risks to the financial system; 3. To ensure that appropriate safeguards are put in place to protect the investors and consumers; and 4. To introduce regulatory reforms to overall support disruptive technologies in an innovative way.
Source: rma.org
