Myanmar’s shadow government has declared cryptocurrency USDT as the country’s new official currency

Myanmar’s shadow government has declared cryptocurrency USDT as the country’s new official currency

Government
December 13, 2021 by Editor's Desk
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The Myanmar National Economic and Social Council has just declared that the US Dollar Tether (USDT) is an official currency in Myanmar. This measure has been taken so the central bank can better combat money laundering and other illegal activities. Additionally, USDT will also co-exist with MMK as a parallel currency so that trade relations
Myanmar's shadow government has declared the stablecoin USDT as the country's new official currency

The Myanmar National Economic and Social Council has just declared that the US Dollar Tether (USDT) is an official currency in Myanmar. This measure has been taken so the central bank can better combat money laundering and other illegal activities. Additionally, USDT will also co-exist with MMK as a parallel currency so that trade relations with China and Thailand do not disrupt.

The NUG has announced they’ll be accepting Tether currencies for their ongoing fundraising campaign in Myanmar. This decision comes after the regime cracked down on rebel forces in Rakhine state, leading to the death and displacement of thousands of people. Sources report that the shadowy government also raised $9.5 million by selling “Spring Revolution Special Treasury Bonds” offered only to the Myanmar diaspora. They hope to raise $1 billion by selling NUG-issued bonds.

The company responsible for the post is the governmental NUG Ministry of Planning, Finance, and Investment of Cambodia. Myanmar’s shadow government, the National Unity Government (NUG), has officially declared Tether (USDT) to be an official currency for local use.

Myanmar USDTSource: Ministry of Planning, Finance and Investment – NUG Facebook post.

What was the official currency of Myanmar?

Myanmar is a country located on the Bay of Bengal in Southeast Asia. The official currency of Myanmar is the Kyat, which is also abbreviated as MMK. The name ‘Kyat’ comes from the Burmese “ka-ya-” which means ‘handful’.

Cryptocurrencies have been a subject of debate in Myanmar. In the past, the government has made a few statements that have caused confusion and concern about what type of stance they are taking.

In November 2017, the Central Bank of Myanmar issued a statement that said it “does not consider cryptocurrencies as a legal tender of payment for goods and services.” This means that they do not accept cryptocurrency as legal tender for paying for anything, including exchanging it with other currencies or buying foreign currencies from overseas.

In December 2018, there was a report that the Central Bank of Myanmar had issued a new circular reiterating their position on cryptocurrencies and recognizing them as illegal virtual commodities. The central bank again cited speculation as one of their reasons for prohibiting cryptocurrency trading.

Myanmar is a country where the use of cryptocurrency is not regulated. Recently, the US Dollar Tether (USDT) has been introduced in this country.

It was a controversial move by the Myanmar government to allow USDT to be used in the country.