Bitcoin adoption is set to rise amid the current situation in India and Hong Kong. The current turmoil in Hong Kong is leading to a disruption in banking services. Many protestors are boycotting HSBC Bank due to its alleged involvement in the political arrests. On the other hand, authorities in India are being accused of religious profiling of its citizens.
Such economic and financial events can cause unrest among citizens. The fearful environment created by such events can shift people towards using cryptocurrencies that are decentralized in nature. When citizens fear their government, the trust reposed in the traditional financial systems is lost. Interestingly, Bitcoin addresses all these issues pretty well.
Bitcoin adoption set to rise with the Citizenship Act amendment
As per reports, banks in India will soon implement more detailed ‘Know-your-Customer’ procedures. The forms will demand more information from the user including their religious identity. This in-depth questionnaire is raising many questions. Rumour has it that the Reserve Bank of India is bringing changes to the ‘Foreign Exchange Management Regulations’ that will define which individuals can open a bank account in India.
The latest act allows refugees from minority communities persecuted in Afghanistan, Bangladesh or Pakistan, who are living in India, will be given a ‘Long Term Visa’. Such individuals can now open an NRO account with designated banks. Once they are granted Indian citizenship, their accounts will be converted to resident accounts. The latest act does not cover Muslims who migrated to India from the above-mentioned countries as well as Tibet, Sri Lanka and Myanmar.
Hong Kong protests to boost Bitcoin adoption
Hong Kong protestors have boycotted HSBC banking services in a show of solidarity against the regime’s oppressive tactics. Recently, HSBC shut down accounts of people who were involved in anti-government protests. The bank stated that the purpose of the account didn’t match the actual usage pattern.
Protests in Hong Kong have turned ugly with many violent episodes. The recent HSBC event sparked it further as the protestors were denied access to their hard-earned money under the garb of curbing money laundering
All these events will ultimately help the Bitcoin adoption cause. Virtual currencies will become more mainstream. Citizens who experience difficulty in accessing financial services will rush towards decentralised cryptocurrencies.
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