Is Bitcoin a Scam? Which Countries Recognize Bitcoin as Legal?

China: It does not have monetary attributes and is not a real currency

On December 5, 2013 , the People's Bank of China and five other ministries and commissions issued the "Notice on Preventing Bitcoin Risks", which clarified the nature of Bitcoin, stating that Bitcoin is not issued by monetary authorities and does not have monetary attributes such as legal tender and compulsion, and is therefore not a real currency. At the same time, financial institutions are prohibited from providing Bitcoin trading services.

As soon as this notice was released, the price of Bitcoin fell by nearly 50 % .

Russia has taken a tough stance on Bitcoin, South Korea has refused to recognize Bitcoin as a currency, and the Netherlands has warned of Bitcoin risks.

Bitcoin's current status and blockchain technology's impact

Now, countries such as China, Russia, the United States, and South Korea, which were originally not optimistic about Bitcoin, have gradually changed their views because of Bitcoin's blockchain technology. From the perspective of government departments, in February 2016 , the central bank governor Zhou Xiaochuan pointed out that digital currency must be issued by the central bank, and blockchain is an optional technology. Prior to this, the central bank also held a seminar on digital currency.

Germany: The first country in the world to recognize the legal status of Bitcoin

In August 2013 , Germany announced that it recognized the legal status of Bitcoin and incorporated it into the national regulatory system. Germany is the first country in the world to recognize the legal status of Bitcoin.

Japan: Defining Bitcoin as an asset

In June 2014 , Japan's ruling Liberal Democratic Party said it decided not to regulate Bitcoin for the time being. In August 2015 , the CEO of Mt.Gox was arrested, and the Japanese government considered regulating Bitcoin. In May 2016 , Japan approved the first digital currency regulation bill and defined it as property.

Canada: Recognizes Bitcoin's "currency status"

In December 2013 , the world's first Bitcoin ATM was put into use in Vancouver. Many Bitcoin entrepreneurs in the United States chose to move to Canada to start their own businesses due to legal and regulatory issues in different states in the United States.

Thailand: The First Country to Ban Bitcoin

In the view of Thailand's Foreign Exchange Control and Policy Department, the following activities are considered illegal: buying and selling Bitcoin, using Bitcoin to buy or sell any goods or services, and having Bitcoin transactions with anyone outside of Thailand.