In recent years, cryptocurrencies have begun to serve a wide audience, and once the COVID-19 crisis has ended, cryptocurrencies may become much more important in the future. For this reason, Japanese officials began to investigate how Bitcoin and cryptocurrencies will play a more important role in the future.
Cryptocurrencies Could Be More Important
Japanese officials are talking about how digital assets can stand out in the world after COVID-19. Japanese Senator Otokita Shun, a well-known member of Tokyo Nippon Ishin’s Financial Affairs Committee, stated that cryptocurrencies can be used for positive improvements in taxation and other regulations. Otokita Shun also said that digital assets will be more important for the economy and will facilitate innovation for entrepreneurs and companies that play a key role in the market.
— 音喜多 駿（参議院議員 / 東京都選出） (@otokita) May 23, 2020
It is worth noting that Japan has already implemented different regulations for the cryptocurrency industry. These measures include controls on crypto exchanges, licenses to cryptocurrency providers and many more. These regulations aimed to reduce the number of frauds on the market during the 2017 bull run and the First Money Offer (ICO) frenzy.
Cryptocurrencies Contributed to the Japanese Economy
Otokita Shun thinks there are many obstacles to the spread of cryptocurrencies. These barriers include regulations, taxes, and more. However, it is worth noting that in 2017, the Japanese economy expanded by 0.3% in 2017 due to the growth of cryptocurrencies.
This shows that cryptocurrencies can play a very important role in the economy of one of the strongest countries in the world. In the future, the goal seems to make more profit than the expansion of both cryptocurrencies and distributed ledger technology (DLT).
Meanwhile, several countries are working on different Blockchain solutions to monitor Coronavirus’ expansion and impact in society. These solutions can be very useful to track other viruses and information from citizens in the future.
Today, Bitcoin and other cryptocurrencies are also used in some countries to evade currency controls and oppressive governments. Argentina and Lebanon can be cited as examples for the two countries affected by the financial and economic crisis.