Crypto Donations to Politicians Are Unregulated in Japan

According to Reuters’ report published on Oct. 8, Takaichi made that statement at a press conference which took place the same day. During the event, she reportedly said that cryptocurrency donations are not subject to disclosure under the country’s Political Funds Control Act.

Sanae Takaichi, the internal affairs and communications minister of Japan, has stated that cryptocurrency donations to individual politicians are not illegal in the country – unlike the ones made in cash or securities.

“No” to cash and securities, “yes” to crypto

Per the report, Takaichi explained that Japan’s laws prohibit donations to politicians in fiat currencies and securities, and noted that crypto assets “do not fall under any of the above, and don’t limit donations.” When confronted about the possible negative implications of this regulation, Takaichi replied:

“Because addressing this problem would limit the political activities of politicians, this problem will be discussed by each party and each group.”

As Cointelegraph reported on Oct. 2, a candidate for the United States House of Representatives in 2020 is accepting cryptocurrency donations to run against Representative and Speaker of the House Nancy Pelosi.

China: Shenzhen Special Economic Zone to Include Digital Currency Research

On Aug. 18, the Central Committee of the Communist Party of China outlined the plans for the future development of the Shenzhen Special Economic Zone, including the research and promotion of digital funds and the national cryptocurrency based on the renminbi.

According to Chinese news agency STCN:

“Mutual recognition of fund products. Promote interoperability with Hong Kong and Macao financial markets and mutual recognition of financial (fund) products. In the promotion of the internationalization of the renminbi, we will try first and explore innovative cross-border financial supervision. Supporting innovative applications such as digital money research and mobile payment in Shenzhen.”

Not every digital currency is decentralized

As Cointelegraph reported recently, the People’s Bank of China has already claimed that its digital currency “can now be said to be ready.”

Still, as was explained in the dedicated follow-up article, it will be powered by a two-tier operating system, which will not be fully decentralized. So, according to various analytics, it cannot be called a true cryptocurrency.

In the meantime, while political conflicts continue within China, Hong Kong is paying higher prices for Bitcoin.

Leave a Reply

Your email address will not be published. Required fields are marked *