thecoinrise.com
Paraguay, a country in South America is closer to the legalization of digital currencies on its shores as the country’s deputies recommended approving the proposed crypto bill. The recommendation to pass the Bill “That regulates the industry and commercialization of virtual assets – crypto assets” in the country has scaled the Senate from where it was passed down.
The Chamber of Deputies was in support of the Bill, however, pointed out a slew of modifications that must be made before it can finally be passed into law.
As part of the recommendations in the Bill are the agencies that will be responsible for overseeing the digital assets industry. Per the provisions earmarked, the Ministry of Industry and Commerce (MIC) will be in charge of coordinating the registration, supervision, and control activities of the nascent ecosystem.
The role of the MIC will also be aided by the National Securities Commission; the Secretariat for the Prevention of Money or Property Laundering (SEPRELAD); the National Electricity Administration (ANDE); and the Ministry of Finance, through the Undersecretary of State for Taxation (SET).
The proposed law will be binding on all citizens of Paraguay as well as anyone residing in the country.
Objections to the Paraguay Crypto Bill
Why the majority seems to carry the push for the Bill to pass, there were very significant objections that were echoed primarily by one of the legislators, Tadeo Rojas (ANR-Central). According to Rojas, the crypto industry does not offer as many benefits when compared to its broad energy consumption.
“It does not compensate the costs in terms of electricity consumption; the Budget Commission recommends rejection”, said deputy Rojas, noting that the SET, SEPRELAD, and the National Securities Commission are also against it.
A lot of impressive work is ongoing in the Latin American world as it concerns digital currency legalization. With El Salvador leading the chart as the most Bitcoin, and crypto-bullish country, Paraguay has often been tipped as the next nation that may likely embrace Bitcoin.
While the argument against passing the crypto bill was well aired, the Deputies, like watchdogs in other jurisdictions believe failing to provide a regulatory oversight will only continue to make the masses trade the nascent asset class illegally.