5 Countries That Embraced Crypto in 2021

JAKARTADAILY.ID - As the value of digital assets continued to rise in 2021, many governments started adopting Crypto-based instruments such as bitcoin.

The world's first bitcoin exchange-traded fund was inaugurated in 2021 and many countries started to make clear regulations around the new sector. In short, 2021 had been a good year for Crypto to grow because some governments started to acknowledge its potential.

El Salvador
bitcoin became the first digital currency to gain legal tender in El Salvador last year. In September 2021, the Republic of El Salvador became the first country in Central America to officially implement bitcoin as a form of payment.

The country's bold move to embrace bitcoin was primarily influenced by the bitcoin Law, first introduced in June 2021. It paved the way for bitcoin as a payment method alongside the US dollar.

In September, El Salvador's president announced that his country would build a bitcoin mining facility powered by volcanic energy. This sparked a significant case for cutting the carbon footprint of bitcoin.

The United Arab Emirates
The United Arab Emirates emerged as one of the most Crypto-friendly nations in 2021. The country's regulators also came up with various arrangements to allow Crypto trading in various free economic zones in Dubai.

UAE's postal operator also issued NFTs in November 2021. The Dubai World Trade Center Authority eventually became a regulator of cryptocurrencies and related products.

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Canada
Apart from the UAE, Canada was also named one of the most Crypto-friendly countries in 2021 after its first physically settled bitcoin ETF was established. The Purpose bitcoin ETF, launched in February, became the first cryptocurrency exchange-traded fund to reach the $564 million mark in its first five days of trading.

Canada continued to lead the global bitcoin ETF race in 2021. In December, Fidelity Canada launched its own mutual fund and bitcoin ETF. Canada's bitcoin ETFs are also beneficial for government-registered investors.

singapore
singapore became a major center for developing blockchain and cryptocurrency businesses in 2021. In November, two new institutional bitcoin funds were launched in singapore. The Monetary Authority of singapore also allowed more companies to offer digital payment token services.

One of the largest financial firms in the country to enter the Crypto industry was DBS Bank. The firm started its Crypto trading platform in late 2020 and had been booming during Q1 2021.

Gibraltar
Gibraltar became an attractive location for Crypto businesses in 2021 despite being one of the smallest countries in the world. The government of Gibraltar also strengthened its ties with the Crypto industry by becoming an ambassador for a major industry association.

In November, Gibraltar became the first cryptocurrency exchange for accepting Bullish, a project of Block.one. Its local branch also obtained a distributed ledger license from the Gibraltar Financial Services Commission. In September, the GFSC approved the operations of a new Crypto exchange called Zubr Exchange Limited.