Bitcoin’s Eastern Future

Simon Black’s comparison of US (official) and East Asian attitudes to Bitcoin speaks for itself:

Places like Hong Kong and Singapore understand that they have a role to play as preeminent international financial centers in becoming financial hubs for digital currencies.

If the US wants to shoot itself in the foot (again) and shut itself out of the market, so be it. But Asia is embracing its potential role in the marketplace, complete with all the risks and rewards.

It wasn’t but a few weeks ago that a Hong Kong-based bitcoin exchange ran off with a few million dollars of customer money. But that hasn’t cooled demand in the region… nor has it sparked a wave of debilitating regulations to clamp down on digital currencies.

What this ultimately means is that all the new businesses and intellectual capital associated with digital currencies will flock to Asia… just in the same way that all the cutting edge precious metals firms are now basing themselves in Singapore.

ADDED: “The U.S. government believes that some scary people are using bitcoin. But here’s another scary prospect: If the government goes overboard with a hard-line approach on bitcoin and other emerging digital currencies, it may merely push them overseas, where they will surely flourish outside of its control.”

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