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Japan Government: ‘Bitcoin Isn’t a Currency’

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Bitcoin took a further step away from legitimacy Friday when Japan’s cabinet approved a document saying the popular cryptocurrency is not, in fact, a currency and banks should not provide it as a product to customers.

The move puts Bitcoin outside the purview of Japan’s Financial Services Agency, which had also previously ruled that Bitcoin is a commodity, rather than a currency. The statements come on the heels of the massive collapse of the Tokyo-based Bitcoin exchange Mt. Gox, which resulted in the loss of nearly half a billion dollars last week.

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