Cryptocurrency adoption is at its peak. Several governments across the globe have been embracing Bitcoin [BTC] and the rest of the market. However, quite a few are still not on board with the inclusion of digital assets into their existing financial system. Prominent tourist hotspot Bali recently joined the ranks of the latter.
During the weekend, the Bali government made it clear that it holds a negative stance toward cryptocurrencies. Wayan Koster, the governor of Bali, held a press conference. He announced that tourists who choose to make payments for goods and services using crypto assets will face strict scrutiny. The government intends to closely monitor and regulate such transactions within the region. He further added,
“Foreign tourists who behave inappropriately, do activities that are not allowed in their visa permit, use crypto as a means of payment, and violate other provisions will be dealt with firmly. Strict actions range from deportation, administrative sanctions, criminal penalties, closure of business premises, and other tough sanctions.”
As a result of the Bali government’s stance on cryptocurrencies, tourists will not be permitted to use Bitcoin and others for payments at hotels, restaurants, tourism destinations, shopping centers, and other establishments within the region. Additionally, the province of Bali officially recognizes only the Indonesian rupiah as its legal tender. It is the sole currency within the region.
What Are The Repercussions of Using Crypto in Bali?
According to information from a government-owned news portal, individuals who utilize currencies other than the Indonesian rupiah may face severe consequences imposed by the government. These penalties include a potential one-year imprisonment and a significant fine amounting to approximately $13,300. Koster further said,
“People who carry out foreign exchange business activities without permission from Bank Indonesia can be punished with imprisonment for one-year minimum and five-year maximum and a minimum fine of Rp50 million [US$3,300] and a maximum of Rp22 billion [US$1.4 million].”
The decision of the Bali government to disallow cryptocurrency payments has received criticism from many individuals. As a result, some people have expressed their dissatisfaction by stating that they will not visit Bali due to this policy.