The government of Myanmar has made tether (USDT) their official currency for “domestic use”…. Something like that.
The decision to adopt the USDT was made by the Myanmar National Unity Government, a kind of parallel government made up of cabinet members from former President Win Myint and his State Councilor, Aung San Suu Kyi.
These politicians were overthrown after a coup in which Burmese politician Myint Swe was named incumbent President of Myanmar and Army General Min Aung Hlaing took over as prime minister.
Myanmar Rebels Hug Tether (USDT)
According to a Bloomberg report, the Myanmar National Unity government has announced that it will “use domestic Tether to simplify and expedite current trading, service and payment systems.” The idea is to use USDT as if it were the American dollar, but in a way that defies the censorship and control of the new administration.
It is worth noting that the current regime banned the use of cryptocurrencies in May 2020. Therefore, the adoption of Tether is not only a matter of practicality, but also a form of political provocation by the Government of National Unity to the new government.
Although the National Unity Government has no territorial or military control, it has gained some space in the global diplomatic sphere as it is supported by the European Parliament with offices in the United States, France, Australia, South Korea, the Czech Republic, and the United Kingdom.
In addition to using USDT for domestic transactions, the NUG has issued Spring Revolution Special Treasury Bonds that raised $ 9.5 million in 24 hours – with expected total proceeds of $ 1 billion. The aim of the bonds is to raise enough funding to overthrow the current government and regain power.
Cryptocurrencies and geopolitics
While the news may have surprised the government of Myint Swe and Min Aung Hlaing, the truth is that the idea is nothing new among cryptocurrency enthusiasts. Over time, decentralized digital currencies are playing an increasingly important role in global geopolitics.
Only a few months ago – specifically in September 2021 – the regime of Nayib Bukele announced the introduction of Bitcoin as legal tender with a mandatory acceptance. Despite warnings from multilateral organizations like the IMF, the World Bank and threats from governments like the United States, the country insisted on the introduction of Bitcoin and inaugurated a mining ranch for volcanic energy, bought 1120 BTC for a national fund, and developed an official wallet.
On the other hand, in Venezuela, Juan Guaidó, a Venezuelan politician recognized as the country’s sole legitimate president by 11 of the 195 countries in the world, tried unsuccessfully to use cryptocurrencies to get money out of the United States and then transfer it to the United States medical staff in the country. He was also accused by Nicolas Maduro’s cabinet of paying criminal gangs with cryptocurrencies to help him come to power.
Other countries have turned to cryptocurrencies and blockchain technologies for less extreme perspectives. The Atlantic Council estimates that the Bahamas, China and the Marshall Islands are already implementing their own digital currencies, and around 87 countries are working on developing a CBDC.
Status of the countries with CBDC projects. Source: Atlantic Council
SPECIAL OFFER (sponsored)
Binance Free $ 100 (Exclusive): Use this link to register and receive $ 100 free and 10% off first month Binance Futures fees (terms and conditions).
PrimeXBT Special Offer: Use this link to register and enter the POTATO50 code to receive 50% free bonus on every deposit up to $ 1750.
Comments are closed.