According to reports, Bitcoin is under observation on the island of Bali.

Located in the Indonesian archipelago, central bank officials from Bali are said to be clamping down on digital currencies within the nation. The Head of Bank Indonesia\'s representative office on the island, Causa Iman Karana explained that officials had come across numerous social media posts that indicated that Bali had been facilitating Bitcoin transactions.

The representative continued to say that the next step is to ban them in compliance with the law and confirmed that the bank officials and the Directorate of Special Crime Investigation unit, will make sure that all Indonesian transactions must use Rupiah, and Rupiah only.

This latest news comes as the country was previously reported as having major bitcoin usage but it is believed that the government are still attempting to reduce the use of such digital currencies. The increased scrutiny regarding cryptocurrencies seemingly increased as it was warned that digital currency could be used to fund criminal activity and money laundering.

Bali’s recent reaction towards cryptocurrency seems to mimic the opinions of China and South Korea, after both countries have announced proposed digital currency bans and heightened regulations. Australia, on the other hand, has opted for a more lenient opinion.