BI Banned Bitcoin Transacted in Indonesia Starting 2018 (mwr)

PT. Kompas Cyber ​​Media
2-3 minutes

JAKARTA, KOMPAS.com - Bank Indonesia will ban payment transactions using bitcoin in 2018. This bitcoin prohibition will be regulated in a Bank Indonesia or PBI regulation that is planned to be issued in the near future.

Head of BI Transformation Program Center Onny Widjanarko said, in the PBI, electronic money that will be out in the near future will be arranged, one of them about bitcoin.

               "Currently there is no clear rule if people do bitcoin transactions," said Onny in Jakarta, Tuesday (5/12/2017).

Bitcoin has not been specifically regulated by BI. To that end, BI is still conducting an in-depth review of bitcoin, whether it will be regulated in electronic money PBI or separate, for example later entered in the PBI cryptocurrency.

What is clear, BI appealed that merchants do not accept bitcoin as an official payment instrument in Indonesia. If people experience bitcoin-related losses, BI regulators will not be responsible for this.

BI is concerned and is still concerned about the risks of using bitcoin by the community. This is because BI is sniffing the potential for bitcoin fraud to be used for unlawful acts, such as terrorism, money laundering, prostitution, and drug trafficking.

There are some investors who use bitcoin as an investment tool. On the other hand, some countries react differently to the presence of bitcoin. China and Russia are some countries that reject the presence of bitcoin. While Japan accepts bitcoin transactions.

           °This news is taken from Kontan.co.id with the title: #Bank-Indonesia banned bitcoin starting 2018

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Bitcoin, Future Currency?
Editor: Bambang Priyo Jatmiko header

Hello steemit mania ... How are everything Beetroot lovers. Bitcoin is one of cryptocurrency which is basically a digital currency.

This currency of form and storage is digital. The inventor of Bitcoin for the first time was a / programmer (not yet certain-red) programmer who used the name Satoshi Nakamoto.

Bitcoin can be used to purchase various services such as games up to website hosting. For now, the number of services receiving Bitcoin is still quite limited.

Then why are people fond of Bitcoin? Because most of them use for investment and get rich.

From time to time Bitcoin prices continue to rise and peak at the end of 2017.

Bitcoin Price chart 2012-2017

Suppose you bought ten Bitcoin for $ 6 per coin in January 2012 and you save up to now then your ten coins cost Rp2.5 Billion (December 2017 rate)

If you are interested in Bitcoin but do not understand right then you come to the right place, because we will discuss various questions about Bitcoin the most frequently asked questions.

How does Bitcoin work?

Basically Bitcoin is a digital journal that keeps track of who has Bitcoin. Banks in general also have journals like this to record customer A has how much money. What distinguishes Bitcoin is that digital journals are not stored in a particular agency or party.

In Bitcoin, these digital journals are stored on each person, or anyone who wants to own and help the transaction process (called maintainers). So when a digital journal breaks down then you have a backup of all other users. No one party controls this journal, everyone participates.

But since everyone can have this digital journal then they can know the amount and every transaction that happens. So let's say today you want to be a maintainers, then you can request a journal entry to the network and download it, you can then see its contents.

However you can not find out who the owner is because the data stored is Bitcoin address (imagine account number), without name, address or other personal information.

When Andi sends Susi 1 Bitcoin (BTC), then an instruction will be sent to the entire network that holds the copy of this journal. The instruction is to move 1 BTC from Andi (reduce) to Susi (add). After this instruction runs then the entire journal in the network will get an update.
Bitcoin Ledger

Bitcoin delivery illustration

To prevent counterfeiting of instructions the network requires evidence that the instructions for moving 1 BTC are from the original owner Andi. This is the job of a private key that belongs only to Andi. Through the process of electronic computing, the network can verify this transaction and prove that indeed Andi is sending instructions.

Unlike signatures in checks that can be faked continuously, this private key will generate different signatures for each transaction. Subsequent transactions will result in a signature (marker that this is the original owner) is different.

What are the advantages of Bitcoin over conventional currency?

° Bitcoin uses a decentralized system. No one governing party (such as a bank) because everyone participates in the process. This means no one can decide on one side or create a new policy that incriminates the owner of this currency. For example a Bitcoin address can not be frozen by a party.
° Purchase is easy. Unlike banks that require steps and documents, you can have Bitcoin in 5 minutes.
° Confidentiality awake. This may not be entirely true, nor is there a perfect system. Someone can create a Bitcoin Address without providing a name or address.
° Imagine you can create an account without a name or address, and immediately get an active account number.
° Transparent. Uniquely, at the same time, everyone can see and have a journal entry. There will be Bitcoin address information and how many. But there will be no information on who the Bitcoin address is. This is an example of Bitcoin transactions received by Wikileaks
° Bitcoin delivery is very fast, as well as without any terms or limits of transfer.
° Bitcoin transfer fees are also very, very small, and have no administrative costs.

What can you do with Bitcoin?

1. First, you can use it to make payments at various merchants, or make transfers to fellow users. But lately, many services such as Steam game platform originally received payment with Bitcoin, but then stop the feature. The reason is the Bitcoin price continues to fluctuate.

Examples of services that receive Bitcoin as a means of payment

1. Second, you can also use Bitcoin as an investment commodity like gold. You can buy it when it's cheap, and sell it when the price gets higher.

How to get Bitcoin?

1. First, buy Bitcoin directly by exchanging official currency with Bitcoin. In Indonesia, you can buy Bitcoin through several sites, such as Bitcoin.co.id, Luno, and CoinBase. Through the platform, you can exchange your Bitcoin with Rupiah currency.

2. Second, you can get Bitcoin by becoming maintainers and verifying transaction (Bitcoin Mining). When you manage to do this, the system will give you Bitcoin. Read on to learn more about Bitcoin Mining.

3. Third, you can offer services or goods to someone who owns Bitcoin and accepts payments with Bitcoin.

What is the exchange rate of Bitcoin?

Bitcoin exchange rate is uncertain and constantly changing. When this article was written the exchange rate of 1 BTC reached Rp250 million. To monitor Bitcoin exchange rate with Rupiah, you can visit Bitcoin.co.id website.

Why does the price of Bitcoin go down or up?

The cause of Bitcoin exchange rate fluctuations is supply and demand. When the demand is high and the amount of Bitcoin available is low then the Bitcoin price will be high, vice versa.

   ° What causes Bitcoin to rise so high is because Bitcoin is not based on real value. The value of a company's stock may increase as their income rises or the number of sales increases. But Bitcoin is only trust-based buyers that the price will rise. Thus there is no basis for guarantee or measurement of the ups and downs of prices.

How many Bitcoins are in circulation?

The algorithm used by Bitcoin has been designed to produce 21 million Bitcoin by 2124 (approximate). Until this month has been circulating as much as 16.7 million Bitcoin so the remaining 4.300.000 Bitcoin again. Bitcoin Circulation can be monitored through the Blockchain website.

Can that number increase?

Coding this will not happen. But the Bitcoin limit is actually not a problem. If Bitcoin has stopped plus (21 million Bitcoin) and the majority of miners (51%) decide to replace the software with a new function (eg breaking the smallest unit of Bitcoin becomes smaller) then Bitcoin will experience fork, there are Bitcoin fractions with different play rules.

  °So far there are 2 forks of Bitcoin: Bitcoin Cash and Bitcoin Gold.

Is Bitcoin the only digital currency available?

No.
.
Until now there are about 1000 more cryptocurrencies in circulation and this number continues to grow. But until now, Bitcoin is the largest cryptocurrency. You can monitor the price developments of various digital currencies at the following link.

Sound very promising, what is the potential loss?

° Bitcoin is built on the trust of the community against its price. There are no basic values ​​and guarantor other than community. If the community one day decides that Bitcoin is useless, then at that time Bitcoin is meaningless.
° Because it does not have a base value so Bitcoin is very volatile, this can mean within 1 day its value can go down far without cause. One day can go down forty percent (happens because China declares no BTC support), and can also rise thirty percent in four hours.
° Potential hacking is also still large, just like other digital systems. Until now this has happened dozens of hack with a value that reached more than Rp 7 trillion. This hacking happens not to the whole Bitcoin system, but to the Bitcoin provider (trader) and then transfer the Bitcoin that is in the trader to another account.

Bitcoin Mining - Mining Bitcoin.

Bitcoin mining sounds like gold mining activity. But the truth is not as cool as it is. When instructions are sent to the network to move 1 BTC from A to B, maintainers will scramble to validate transactions and solve complex mathematical problems.

Those who successfully perform the first validation will be rewarded with a small amount of Bitcoin.

The question is where does this Bitcoin come from? The system creates Bitcoin directly for these miners, not taken from existing Bitcoin. This is what adds to the amount of Bitcoin in the market.

Bitcoin Farm

You're looking at a bitcoin field in Boden, Sweden.

     Although impressed easy but these miners need to solve complicated mathematical problems, so they need hardware that is tight and wasteful electricity. That's why you'll see so much hardware in a serious Bitcoin miner place.

      It also means there is no point to mining your PC. The cost of paying electricity will be greater than the Bitcoin you get. To do mining with profit objectives then you need more serious hardware or usually called Application-specific integrated circuit chips (ASICs).

How is Bitcoin legality in Indonesia?

In Indonesia alone, Bank Indonesia has banned all payment system providers to facilitate transactions with virtual currency (cryptocurrency) such as Bitcoin through Bank Indonesia Regulation Number 18/40 / PBI / 2016. But so far, there are no specific rules governing cryptocurrency as an investment commodity.

This means there should be no purchase of goods and services with Bitcoin. But you are not forbidden to buy Bitcoin to invest.

BI is concerned and is still concerned about the risks of using bitcoin by the community. This is because BI is sniffing the potential for bitcoin fraud to be used for unlawful acts, such as terrorism, money laundering, prostitution, and drug trafficking.

There are some investors who use bitcoin as an investment tool. On the other hand, some countries react differently to the presence of bitcoin. China and Russia are some countries that reject the presence of bitcoin. While Japan accepts bitcoin transactions.

           °This news is taken from Kontan.co.id with the title: #Bank-Indonesia banned bitcoin starting 2018

Keep up to date on this topic:

Bitcoin, Future Currency?
Editor : @Mawardy Al faruqi

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