Baltic’s Use of Bitcoin as a Payment Continues to Rising In the Absence of Comprehensive Regulation

Baltic’s Use of Bitcoin as a Payment Continues to Rising In the Absence of Comprehensive Regulation

April 27, 2018 Off By Steven Anderson

Since there is no comprehensive regulation has been introduced in Baltic, the cryptocurrency has gained popularity in the state, particularly as a mode of payment for the users. The business coming from different segments such as real estate, hospitality industry, online trade, and even the healthcare are taking the edge of cryptocurrency payment. Moreover, other companies in the region offer services on the global scale.

The places such as Estonia, Latvia, and Lithuania have already accepted the cryptocurrency, in which even paying a cup of coffee is made normal using the cryptocurrency payment. According to the media based in the local, the hotels, orthopedic clinics, restaurants, bars, cafes and even the souvenir shops are currently accepting the cryptocurrency as a payment in the service and product availed. With this, it seems that the EU’s Baltic Tigers are turning to “Bitcoin Tigers” of Europe.

Regarding real estate, the cryptocurrency has been introduced in the business by several firms that sell land plots, housing units, and other forms of physical properties in Baltic, according to the reports released by Novaya Gazeta. The potential buyers will become more likely to buy homes and land properties in Auriai cottage settlement that is now under construction – with a location not far from Vilnius, capital of Lithuania.

Aside from the real estate business, the clothing industry in the state is also accepting cryptocurrency for buying clothes. According to the Coinmap, over 30 locations found in Vilnius are accepting cryptocurrency payments, 26 locations in Tallinn, and 21 in Riga. Also, there are ATMs dedicated for Bitcoins found in Estonia and Lithuania capitals, according to Coinatmradar. Most of the businesses that accept cryptocurrency are coming from the hospitality industry such as restaurants, cafes, bars, souvenirs shops, and hotels. Others business segments are also catching up on the trend.

In the previous month, the franchisee from the United Colors of Benetton in Lithuania had announced that they would accept cryptocurrency. The fashion brand stores in Vilnius are now taking Bitcoin and other cryptocurrencies as a payment from the customers.

In the Baltic States, there are no comprehensive regulations released yet about the cryptocurrency as a mode of payment. Latvia, on the other hand, has recently tried to partially recognize the cryptocurrency regarding taxation purposes. The authorities from Riga said the Bitcoin could function as a means of exchange. In return, there will be 20% tax to be imposed on the capital gains from cryptocurrency deals.

Estonia, which is the most digitally developed country when it comes to Bitcoin, is mulling in issuing its cryptocurrency. Despite European Central Bank’s negative stance, Tallinn has never given up on the idea, and the officials behind this project are on the move to push the issuance of the Estcoin not as a cryptocurrency, but a token.Estonia, in any case, is resolved to go through with its plans for national coin.

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