Monday | 13 January 2025 | Reg No- 06
বাংলা
   
Monday | 13 January 2025 | Epaper

Why banning crypto-currency might hold Bangladesh back from the fourth industrial revolution

Published : Friday, 15 November, 2024 at 12:00 AM  Count : 750
Pranto Chatterjee
In the modern age of the digital revolution, cryptocurrency is the new order of things in the global financial topography. Like how each industrial revolution ushered in new innovations that changed human society, so blockchain and cryptocurrency fire the new economic frontier of the Fourth Industrial Revolution. For Bangladesh, the issue is no longer a question of embracing cryptocurrency or not but, rather, of knowing its potential impact and preparing for the inevitable transition. More precisely, in viewing the advantages of cryptocurrency, one might understand why an outright ban might be a missed opportunity and why informed regulation might position Bangladesh as a thinking economy of the future. The growth of cryptocurrency over the last decade has been meteoric. From its humble beginning with Bitcoin in 2009, today's cryptocurrencies have grown from a fringe innovation into a global market that is worth $2 trillion. This, in turn, has made various countries of the world open their eyes to the vistas that cryptocurrency offers in making seamless transactions, encouraging borderless trade, and promoting financial inclusion. On the flip side of the coin, some issues around volatility and regulatory concerns aside, crypto has been embraced to one degree or another by countries such as the United States, the United Kingdom, Japan, and South Korea, regulating it without placing restrictions on further growth. Even India and Pakistan, neighbors of Bangladesh, have overnight crypto markets mushrooming and are working on framing ways to ensure the safe integration of this upcoming technology within their economies. In this backdrop, Bangladesh's current stance has come out as cautious and resistant. But with proper regulation, cryptocurrency can open up new avenues for economic growth, innovation, and inclusion.

Bangladesh does show some promise in its emerging tech scene, with a growing digitalization and interest in innovative financial solutions. But as countries across the world move to adopt NFTs, DeFi, and other blockchain-based applications, crypto could put Bangladesh well ahead in the global digital economy. The government's own National Blockchain Strategy, published in 2020, very strongly underlines how important blockchain is going to be in driving future economic growth and achieving the SDGs. Crypto is a natural offshoot from blockchain, and a forward-looking attitude toward crypto would attract worldwide investment while inciting innovation and a job creation in budding tech sectors.

To mitigate volatility in crypto prices, the government can place limits on investment amounts or restrict cryptocurrency transactions for use cases such as remittances or specific business activities. Similarly, financial education on investing in crypto will also help citizens handle this new area of investment responsibly. Partial adoption, with safeguards and restrictions in place, will give Bangladesh a controlled environment to experiment with and tap the potential of cryptocurrency while safeguarding its economy.

Fundamentally, cryptocurrency reflects a philosophy of decentralization, financial empowerment, and global interconnectivity. The acceptance of crypto for Bangladesh is not merely an issue of economic policy; it's a call that duly aligns with the philosophical ethos for growth, adaptability, and resilience. This rise of crypto carries within it a world that is more interconnected and empowered digitally. In embracing crypto, Bangladesh would opt to be relevant, resilient, and forward-looking in this fast-changing world. The sweeping change that mobile phones and mobile banking brought to communication and access to finance in Bangladesh could be mirrored by cryptocurrency. The future of finance is irretrievably digital, and cryptocurrencies are part and parcel of such a transition. While one should be cautious, an all-out ban on cryptocurrency ignores the many ways that this new technology can contribute to the Bangladesh economy by furthering financial inclusion, efficiency of remittances, and economic diversification. Therefore, constructive regulation should be available to allow Bangladesh to remain open to innovation while making sure that its financial stability is definitely sound. "Embracing crypto," on the other hand, isn't some license to dismiss old-school finance but an extension of growth opportunities in the digital age. To Bangladesh, the decision to move forward into cryptocurrency is not just a step toward technological progress but a commitment to securing its place in the future of global finance.

The writer is a postgraduate student in Autonomous Vehicle Engineering at the University of Naples Federico II, Italy


LATEST NEWS
MOST READ
Also read
This is right time to dismantle RAB
Beware of fireworks on the eve of new year 
Peace in Myanmar, region depends on lasting solution to Rohingya issue
What to do for physical and mental health 
Goodbye 2024: A year marked by new escalated conflicts
Accountability is a must-but how?
Comrade Moni Singh: A legend of sacrifice in politics
A better tomorrow with the awakening of 2024
Editor : Iqbal Sobhan Chowdhury
Published by the Editor on behalf of the Observer Ltd. from Globe Printers, 24/A, New Eskaton Road, Ramna, Dhaka.
Editorial, News and Commercial Offices : Aziz Bhaban (2nd floor), 93, Motijheel C/A, Dhaka-1000.
Phone: PABX- 41053001-06; Online: 41053014; Advertisement: 41053012.
E-mail: [email protected], news©dailyobserverbd.com, advertisement©dailyobserverbd.com, For Online Edition: mailobserverbd©gmail.com
🔝
close