Southeast Asian Country, Laos, Authorizes Trading and Mining of Cryptocurrency

In a policy shift, Laos has approved the mining and trading of cryptocurrencies in the Southeast Asian country. Analysts see this move as a logical step for an inland Communist-controlled country that has surplus hydropower. The debt-laden country has its domestic tourism industry severely impacted by the pandemic, and while it has a strong power generation capacity, domestic demand is relatively small and weakened. This shift to crypto comes after last month, the central bank of Laos issued a notice warning the public about the use of crypto assets. This week, the Prime Minister's Office said six companies, including banks and the construction groups, were authorized to start mining and trading crypto assets while relevant ministries draft regulations governing their use. A host of ministries led by the Ministry of Technology and Communications in coordination with the Ministry of Finance, Ministry of Energy and Mines, Ministry of Planning and Investment, and the Ministry of Public Security will work with the Bank of Laos (BOL) and the national utility the Lao Electric Power Company to regulate the industry, reported the Laotian Times. The research findings and consultation between ministries and relevant organizations will be discussed at a meeting later this month.