Paraguay’s House of Representatives Advances Crypto Bill – Regulation Bitcoin News


Cryptocurrency regulation in Paraguay is making steady progress, as a crypto bill introduced in December has been approved by the country’s House of Representatives. The bill, which contains definitions and rules for cryptocurrency mining, one of the hot topics in Paraguay due to cheap electricity costs, will be forwarded to the Senate for discussion.

Paraguay advances crypto bill

Latam countries are taking cryptocurrencies in a more serious light and are currently working to approve legal frameworks for cryptocurrencies. This is the case of Paraguay, a country traditionally considered a mining paradise by cryptocurrency mining companies due to the cheap electricity costs that the country presents. Now, a crypto invoice project that seeks to bring more clarity to these businesses has been approved in the House of Representatives of Paraguay.

The bill, which was approved last December by the Senate, was approved with a record vote of 41 votes in favor and 11 votes against. Carlitos Rejala, one of the bill’s biggest supporters, celebrated the development on social media, indicating:

A big leap for bitcoins in Paraguay. The second chamber of Congress has just approved the bill to create a legal framework for bitcoin mining. 100% renewable hydroelectric energy.

Specificities of the regulations

The new bill states that cryptocurrency exchanges will now be regulated as entities, having the obligation to register their operations as virtual asset service providers with SEPRELAD, the watchdog. money laundering in the country. P2P traders will also need to record their transactions as the rule applies to any person or business that is going to trade, manage, trade, exchange or store crypto assets for third parties. This also includes crypto custody companies.

Cryptocurrency mining will also benefit from this bill, as it would regulate issues related to energy supply and the tariffs the government may charge, clarifying an activity that is still unregulated in the country. The bill transfers these responsibilities to ANDE, the National Electricity Administration, which will establish electricity tariffs in accordance with the mandate of this bill, which stipulates that these cannot exceed 15% of the industrial prices.

The bill will again be sent to the country’s Senate, which will have up to 90 days to discuss the content and propose changes to the structure of the document. Then, if approved, the bill will be ready for Presidential Assent.

What do you think of the newly approved Paraguayan cryptocurrency bill? Tell us in the comments section below.

Sergio Goschenko

Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late in the game, entering the cryptosphere when the price surge happened in December 2017. Having a background in computer engineering, living in Venezuela and impacted by the cryptocurrency boom at social, it offers a different point of view. on the success of crypto and how it helps the unbanked and underserved.

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