Malaysian ministry proposes Bitcoin as legal tender

What

The Communications and Multimedia Ministry of Malaysia (CMM) has proposed that Bitcoin and other digital currencies should become legal tender

Why

According the CMM’s deputy minister, this will increase youth participation in crypto

What next

The CMM now awaits for a response from government

The story

The Communications and Multimedia Ministry of Malaysia (CMM) has proposed that cryptocurrencies like Bitcoin should become legal tender, with a view that it could help the youth become more involved in the space.

“We hope the government can allow this,” said Datuk Zahidi Zainul Abidin, deputy minister of the CMM. “We are trying to see how we can legalise this so that we can develop youth participation in crypto and assist them.”

Zahidi said Malaysia’s Finance Ministry would be responsible for regulating crypto, as would institutions like its central bank and the Securities Commission, but he didn’t mention how his own ministry would be involved.

El Salvador is currently the only nation to have adopted Bitcoin as legal tender. However, with a population of 6.5 million, it would be dwarfed by Malaysian adoption, a country with a head count of 32 million.

Compared to the Central American country, Malaysia’s economic climate is also vastly different, with relatively low and stable inflation.

Zahidi and his ministry now await a response from the central bank and Securities Commission.