Bali Warns Tourists Against Using Crypto for Payments

The Indonesian province of Bali has stated that tourists are not allowed to make payments in cryptocurrency, warning that violators will be “dealt with firmly.”

The government seeks to limit the influx of foreign tourists as a way to deal with the problem of foreigners violating local laws.

Abuse of foreign tourists to face severe penalties

Bali will take action against foreign tourists who use cryptocurrency to pay, according to provincial governor Wayan Koster, who spoke at a tourism development press conference on Sunday, May 28. coaster He said Offenders may face deportation, criminal penalties, and other severe penalties.

“Foreign tourists who behave inappropriately, carry out activities not permitted in the visa permit, use cryptography as a method of payment, and violate other provisions will be dealt with firmly.”

The governor of Bali province confirmed that the Indonesian rupiah is the only legal currency allowed as a means of payment, noting that using any other currency is against Indonesian law and that violators could face up to one year in prison along with a fine of up to 200 million rupiah ($13,000).

Koster’s warning comes amid reports of the governor’s plan to implement A Quota system To limit the number of foreign tourists entering the province as well as limit the influx of foreigners who violate local rules. Bali’s tourism sector, which peaked in 2019, was hit in 2020 during the COVID-19 pandemic, causing the island to be closed to international flights, thus severely restricting foreign tourists to the country.

While Bali has since reopened its borders, the province has reported that there has been a rise in unruly behavior by tourists, which apparently Causing A headache for the locals and the government.

Crypto is allowed, but not for payments

The head of Bank Indonesia in Bali, Trisno Nugroho, said that while crypto is acceptable in the province, its use for payment is not. As previously mentioned before Potato encryptionBank Indonesia warned financial institutions against facilitating cryptocurrency payments.

Koster also mentioned that foreign exchange business activities can only be conducted with the permission of the Central Bank of Indonesia, adding that operating without a license could result in a maximum sentence of five years in prison and a maximum fine of 22 billion rupiah ($1.4 million).

Violations will be subject to administrative penalties in the form of a written reprimand, obligations to pay fines, and a ban on payment transactions.