Proposed Panama bill will regulate cryptos in the country
by: Dynasty GI2021-08-30
A bill has been presented to Panama’s National Assembly aimed at regulating all activities related to cryptocurrencies and to evaluate using digital assets as an alternative to pay for the purchase of products and services.
The initiative, put forward by Deputy Cenovia Vargas, also includes rules aimed at attracting investment from crypto mining companies.
According to the bill, those who settle in Panama will get tax incentives if they hire local staff, but they will also need to use at least 50% of renewable energy for their mining activities.
"“We are seeing more and more countries, especially in Latin America, debating laws to make cryptos part of daily life, with central banks also considering launching their own digital currencies. We welcome the moves, especially if backed by stringent transparency rules, as they help build a stronger fintech environment in the region”, said Fabio Asdurian, co-founder of Dynasty Global Investments AG."
If approved, Panama will be joining El Salvador and other Central American countries making moves towards wider acceptance and use of cryptocurrencies. El Salvador is in the process of making bitcoins legal tender, with its government offering the equivalent of US$ 30 in bitcoins for every citizen who takes up a new digital wallet due to be launched in September. In the meantime, a business in Honduras announced it is due to open the country’s first bitcoin-based ATM, dubbed as la bitcoinera.