Bali’s Crypto Crackdown: Government Targets Digital Currency Use Among Foreign Tourists

May. 31, 2023
Bali’s Crypto Crackdown: Government Targets Digital Currency Use Among Foreign Tourists

Bali’s government is making stronger attempts to dissuade tourists from utilizing crypto for transactions, highlighting that the official legal tender is solely the nation’s fiat currency. This emphasis aims to maintain the uniqueness of Bali’s monetary system.

Moreover, Those passionate about crypto and planning to visit the stunning island of Bali in Indonesia might want to rethink their chosen form of payment.

According to the news agency Antara, Governor Wayan Koster delivered a strong statement. He warned that those using digital currency would face significant repercussions.

This action demonstrates the government’s unwavering commitment to upholding the dominance of Indonesia’s conventional monetary system. The government of Bali is implementing strict measures against tourists who engage in Bitcoin transactions.

Furthermore, Only the Indonesian government recognizes the Indonesian rupiah as the lawful currency within the country. Those who do not follow this guideline may face severe penalties. These consequences include a potential prison sentence of up to twelve months.

Additionally, there is a substantial fine of up to 200 million rupiah (roughly equivalent to $13,300). Koster addressed tourism development, emphasizing consequences for foreign tourists violating regulations.

He warned against misconduct, visa breaches, cryptocurrency transactions, and other infractions. The press conference aimed to raise awareness and maintain order in the tourism sector.

The governor’s remarks emphasize the government’s resolve to uphold the sole utilization of the rupiah. It is Indonesia’s officially accepted currency.

Bali Police Chief Inspector General Putu Jayan Danu Putra attended the press conference. Several other individuals and organizations involved in tourism development and regulatory enforcement joined him.

Bali Governor Takes Action on Crypto Businesses

The governor of Bali’s recent action is a specific reaction. A comprehensive investigative report released in Kompas, a highly esteemed national newspaper, triggered it.

This report brought attention to a troubling pattern, uncovering the presence of multiple Bali enterprises adopting cryptocurrency as a form of payment.

A café focused on cryptocurrencies considered these establishments distinct. They also had a meditation retreat that accepted digital currencies. Additionally, customers could pay for motorbike rentals using cryptocurrency at one location.

Cryptocurrencies are allowed for ownership and exchange in Indonesia, but using cryptocurrencies as payment is strictly forbidden. However, the report unveiled that people were violating this prohibition in Bali.

According to the data from Coinmap, a community-driven project to map businesses that accept cryptocurrencies, the report is supported by their findings.

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Their information reveals that 36 establishments in Bali currently accept cryptocurrency as a valid payment method. Most of these establishments are in Ubud, a renowned tourist spot recognized for its lively cultural ambiance.

Rida Fatima

News writer
An ardent wordsmith with a rich five-year background in delving into the realms of finance and cryptocurrencies. Alongside curating captivating blogs, Unique's talents extend to crafting imaginative and engaging content.