Sri Lanka, an island nation in South Asia, has become the latest country to jump into the global crypto majority after forming a committee to study crypto and blockchain technology.
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aims to attract foreign investment in crypto
Recently this month, Sri Lankan authorities continued their proposal to explore and implement crypto mining technologies in the country.
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A look at the Sri Lanka crypto mining committee
Appointed by the Sri Lankan government, the committee consists of eight members, some of whom are fintech experts and the rest are officials from the banking industry.
Members will review the rules and regulations adopted by other countries that support cryptocurrencies, such as Dubai, Philippines, Singapore, Malaysia, and the EU.
Additionally, the committee will explore ways to mitigate risks related to crypto abuse, terrorist financing, and other fraud and criminal activities on the dark web.
The recommendations and findings will be reported to the Council of Ministers.
Read: How crypto assets are handled for tax purposes in New Zealand
Other Asian countries are considering exploring digital currencies
Apart from Sri Lanka, other south Asian countries such as India, Vietnam, and Pakistan are also considering allowing the use of cryptocurrencies to become widespread.
It is pointed out that El Salvador, a Central American country, officially recognizes Bitcoin as a legal tender.
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Sri Lanka central bank wary of crypto trading
The move to form a committee to explore the crypto space was made despite the CBSL’s (Sri Lanka Central Bank) warning in April this year about the risks surrounding crypto trading and investment.
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It is stated that the country’s central bank maintains a cautious approach towards cryptocurrencies.
As a result
To globalize and expand its digital economy, Sri Lankan authorities are trying to identify opportunities to be on par with other countries when it comes to the crypto space.