International

Indonesia tightens bitcoin use

 Indonesian authorities are investigating the use of bitcoin on the resort island of Bali after the central bank gave warnings on risks posed by virtual currencies.

Illustrative Image (Source: Internet)

Illustrative Image (Source: Internet)



Causa Iman Karana, head of Bank Indonesia’s representative office in Bali, said the investigation started after the central bank issued a regulation banning the use of cryptocurrencies in payment systems on December 7, 2017.

He added authorities found out from some postings on social media that Bali appeared to have become a haven for bitcoin transactions.

At the end of 2017, Police and central bank officials went to Bali to investigate a series of businesses that advertised online that they offered bitcoin payment services.

According to the official, two cafes still using bitcoin as a means of payment. As many as 44 businesses including car rental outlets, hotels, travel companies and jewelry stores, previously offering the service, had now stopped.

Indonesia will ban virtual currencies as mandated by the law, he said, adding all transactions in Indonesia must use rupiah. - VNA

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