Malaysia has indicated that the central bank of the country has the final word on the introduction of new cryptocurrencies.
According to the Minister of Finance, Lim Guan Eng, the central bank of the country, Bank Negara Malaysia (BNM), will have to be consulted on the cryptocurrency projects since the final decision rests with the bank of the top.
"This is where I want to advise all parties, no matter who they are, with the intention of issuing bitcoins or cryptocurrencies, which must refer to Bank Negara who is the authority that will have the final word on this new form of currency, "The Star reported that Lim said while answering a question in parliament on Monday.
Noting that the government was not opposed to new forms of currency, Lim insisted that existing laws should be followed.
"Do not do it without the Bank Negara guidelines or directive on the matter to avoid doing something wrong and against the law," Lim added.
Coins project by Harapan
The Malaysian Finance Minister's response has been an intense debate raging over the currency of Harapan, which has been dubbed the world's first political fundraising platform to use blockchain technology. During the parliamentary debate on Monday, a deputy raised the issue again by saying that the Harapan project had generated hundreds of US dollars despite having not received BNM approval.
As CCN reported this month, the Harapan currency project has stirred controversy in Malaysia with some politicians pushing it while others urge caution. Khalid Samad, minister of the federal territories of Malaysia, launched the project as a way to raise money for Pakatan Harapan, the current ruling political party in Malaysia, ahead of next year's elections.
The approval of the BNM is expected
While he was launching the Harapan Coin project, Samad indicated that he was preparing a proposal with the intention of presenting it to the central bank of the country to obtain regulatory approval. In the middle of the month, Samad defended the project by saying that cryptocurrencies were the wave of the future.
"The founder of Alibaba Group, Jack Ma, he also said (blockchain) is the future in terms of technology … When we handle it and we use it well, we would appreciate it." People would buy (Harapan's currency) and the value will rise when it is used for governmental matters and for other purposes, "said Samad Free Malaysia, who said at the start of this month today.
Critics of cryptocurrency have included former Malaysian Prime Minister Najib Razak who has urged people and entities behind the project to be more transparent in order to ensure that the masses are not robbed.
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