Bitcoin price is keep rising from minute to minute and Bitcoin is reaching adoption rate higher than ever, because investor are wondering how can price go high. Governments around the world are also discussed about cryptocurrencies so there are some countries like U.S which is classifying Bitcoin as a convertible decentralized virtual currency, some countries make Bitcoin and others cryptocurrencies legal like Nepal and Ecuador and in most countries cryptocurrencies still exist in a legal vacuum. All government now realize that cryptocurrencies are not something that will pass but it can be permanent hurt traditional financial system. Because of this reason, many countries these days are about to create so called national cryptocurrencies with the main reason to replace fiat currencies.
Here are some examples of new trend called national cryptocurrencies:
- Russia has developed cryptocurrency called CryptoRuble, but it is not classic cryptocurrency because it can\'t be mined and it is under full control of Russian government.
- China has banned Bitcoin in September 2016 and government have plans to create national cryptocurrencies.
- India is also creating digital currency that will replace the Indian rupee in online transactions.
- Using a Ethereum\'s blockchain Singapore is in the first phase in tokenizing the Singaporean Dollar.
- Venezuela is pretty interesting example of tokenization because they are creating cryptocurrency called \"Petro\" which is going to be backed by country\'s oil, gold and gas reserves.
- Estonia has proposed to launch a Estcoin as a national cryptocurrency.
- Kyrgyzstan is also developing gold backed national cryptocurrency called \"GoldenRock\"
- Even Catalonia is integral part of Spain, this autonomous region is about to introduce its own digital currency which will be based on Estonia\'s \"Estcoin\" project.
Introducing the national currency is advantageous for both individuals and governments: Cryptocurrencies are naturally deflationary currency so Hedging inflation is sure. As all the cryptocurrency, national cryptocurrencies are also reducing transaction costs. Improving tax collection efforts, government would now be able to supervise all payment in the private sector.