Malaysian MP Pushes Crypto Regulations as Harapan Coin Nears Debut

Spread the love

The upcoming launch of Harapan Coin (HRP) is coming under fire in the Malaysian Parliament. Local English-language news outlet the Star reported that MP Fahmi Fadzil, who is the director of the People’s Justice Party (PKR) of Malaysia, has voiced concerns about what HRP could mean for the Malaysian political landscape.

Unlike most cryptos, Harapan Coin was designed to support the current Malaysian opposition party. With a mission like that, it is easy to understand why many in the Malaysian government might want to know more about the project.

Harapan Coin

Malaysia has been a hotbed of corruption scandals in the recent months, as the outgoing president’s regime has given way to a huge data dump of evidence which suggests corrupt practices.

MP Fahmi Fadzil stated that,

“The anonymous nature of cryptocurrency may open us up to a number of issues and we need to wait for guidelines from Bank Negara Malaysia (BNM or the nation’s central bank) in regard of cryptocurrency.”

Harapan Coin is Unique

It should come as no surprise that MP Fahmi Fadzil is a member of the ruling party in Malaysia, and has raised concerns about, “the anonymous nature of cryptocurrency.”

The exact mechanism by which Harapan Coin would be turned into a useful currency has yet the be described. Pretty much anyone can create a crypto, but getting people to trade their BTC, ETH and other liquid cryptos for it is another story.

According to the group that is working to deploy Harapan Coin, the project is backed by, “a group of patriotic and concerned Malaysian citizens, within and outside of Malaysia,” which is pretty vague by current KYC standards.

An Interesting Funding Tool

Whoever is behind Harapan Coin, the power structure in Malaysia is certainly paying attention.

It is ironic that now-embattled former Malaysian Prime Minister Datuk Seri Najib Razak noted the risks of Harapan Coin, as he is now being charged with numerous cases of money-laundering.

To some degree there is risk involved with any kind of valuable settlement instrument, and the banking laws in Malaysia did nothing to stem the tide of corruption in Razak’s former government.

Harapan Coin does open up new possibilities for opposition groups in Malaysia, which is a nation that is perennially plagued by some form of government corruption.

Making political donations anonymous more-or-less levels the playing field for run-of-the-mill Malaysians, whose political class already knows how to pump dark money into a political system that sops it up.

National Currencies Could be a Better Option

Politically loaded cryptos may not have the widespread appeal that their creators are hoping for. The Marshall Islands is taking a different approach to developing cryptos, but it seems like it is just as politically loaded.

The current President of the tiny island nation just survived a vote that would have stripped her of the Presidency, on the charge that her choice to back the formation of a national crypto damaged the reputation of the nation.

President Heine thinks that the Marshall Islands should adopt a new crypto, called the sovereign (SOV), which would compete directly with the US Dollar.

According to the Nikkei Asian Review, Marshallese Finance Minister Brenson Wase stated that his government would move ahead with the sovereign, and plans to sell off half of the initial supply to offshore investors. The remaining half would be held in trust, and could be given to the Marshallese.

Warnings From the Top

To date, there has been no time frame given for the sovereign’s ICO, but the IMF has wasted no time warning the Marshallese about the risks involved in breaking ranks with the global banking cartel.

Despite the fact that according to minister-in-assistance to the Marshallese President, David Paul, the sovereign is legal tender, the IMF told the world that,“The Marshallese authorities are well aware that issuing a legal tender cryptocurrency puts RMI into uncharted waters, and that there are many risks involved in issuing the SOV,” via a report from the entity.

They went on to state that, “However, they believe they can work through these issues. They have created a high-ranking committee to examine all the risks, including those raised by the IMF and the US Treasury, and those discussed during the public hearings on the legislation.”

Related Articles