Cambodia has refused to issue or use any cryptocurrency in the country. A document recently released by the Ministry of Finance and Economics said it is still illegal to create, distribute, or trade cryptocurrencies in the country.
While the ministry does concede that the fintech industry is growing rapidly, it nonetheless reiterated that the long-standing ban on crypto trading remains unchanged, read a report in China News Service. As previously reported by Bitcoin.com News, Cambodian authorities announced in 2018 that the circulation or trading of cryptocurrencies without a license was illegal.
Authorities warned that crypto activities had the potential to cause risks to the public and society. The volatility of crypto assets as well as their lack of backing by an underlying asset are some of the risks mentioned in the May 11, 2018, statement. Lack of consumer protection, cybercrime and loss of funds due to hacking are the other risks that were mentioned in the statement.
The National Bank of Cambodia, the Securities Commission, and the National Police Agency, the Finance ministry in a new statement jointly issued reiterated that no cryptocurrency company has been issued a business license.
Cambodia, however, is currently drafting its fintech development policy which, according to the finance ministry, ensures the country fully benefits from the development of this emerging technology while minimizing the associated risks.
Binance user is on the rise
Binance users grew steadily right from the word go. In 2017, the crypto exchange platform had over 1.5 million users. The number increased significantly in the next year, and the platform reported its users to be 13.3 million.
In 2019, the total number of Binance users increased to 16.5 million, and since then, the number has been growing steadily.
Binance statistics has reported its active users to be 21.5 million in 2020 and 28.6 million in 2021, and we are still not finished yet.
According to research conducted by Binance, more than 48 percent of the users of this platform are hobbyists. Over 15 percent of the platform users say that they use this platform as their primary source of income.
More than 65 percent of Binance users own Bitcoin, and most allocate 1 percent to 20 percent of their crypto portfolio to Bitcoin. Over 90 percent of the users of this platform are males, and their average age is around 35 years.
This crypto platform sees the highest traffic from Turkey, with 6.57 percent of the users from this part of the world, according to Binance statistics.
In the second position is Russia, with just over 5.51 percent of the total Binance users.
Brazil takes the third spot, with 5.18 percent of the users from this country. In the fourth position is Argentina, with 4.46 percent of the total Binance users. The fifth spot goes to the Philippines with 4.21 percent of the total Binance users.
The recent regulatory crackdown throughout the globe as they are worrying about consumer protection and anti-money laundering practices which has had a slight impact on the Binance business.
Some countries have already banned this platform. Other countries have issued a warning that this platform is not licensed to operate within their jurisdiction.
In response, Binance has tightened its checks against anti-money laundering and reduced its product line-up, responding positively to the regulations.
Trade at your own risk!
This article was first published in Khmer Times. All contents and images are copyright to their respective owners and sources.
