Bitcoin is good, are cryptocurrencies better? Far from fearing the corruption of this turbulent bear market, El Salvador is preparing to double down on its bet. This small country is famous for its existence Make Bitcoin (BTC) legal It will be about to make a new spot. All the details.
El Salvador Breaks New Ground in Cryptocurrency Regulation?
The Salvador surprised the world Adoption of Bitcoin as legal currency In September 2021. Since then, it seems that the bear market has not cooled its boss’s enthusiasm, Nep Pokell. On the contrary, we are let’s learn El Salvador, not content with shouting its love for bitcoin, will now look to its crypto-neighbours. all its neighbors. Could El Salvador be the Don Juan of Cryptocurrency?
as such docs Officially available on the website of the National Assembly of El Salvador, the government is working on a law that is supposed to regulate the issuance of cryptocurrencies. Behind this new system hides a real novelty.
Indeed, in that, encrypted assets It will be completely separate from other existing financial assets. Therefore, the applicable law will be their own. It is to this same kind of discrimination that cryptocurrency advocates are calling European organizations. This is to encourage the establishment of appropriate regulations As part of MiCA.
With their brand new look, Bitcoin and cryptos require dedicated regulation. Who is real Legislative haute couture. In fact, the goal is to allow the development of this inherently free and open source ecosystem, without limiting its ability to innovate. New and very promising technology must have the potential to fail, reinvent itself, and evolve. Only then will she be able to change the world. Would El Salvador understand this by adopting ad hoc regulations?
In fact, for a digital asset to be classified as such by El Salvador, it must include a distributed ledger or similar technology. The scope of this law is excluded MNBC (Central bank digital currencies). It also excludes assets that cannot be traded or exchanged and bonds (Guarantees).
Regulations specifically designed for Bitcoin and cryptocurrency
According to the lawyer Ana Ojeda CaracasFor El Salvador, the ambitions of this law are multiple:
- Create a directory of digital partners
- provide a legal definition of stablecoins and tokens,
- Organizing public presentations regarding the issuance of new tokens
- Allow tax exemption under certain circumstances
Of course, not all Salvadorans view the introduction of this law positively. For them, Nayib Bukele only serves the interests of foreign conglomerates. Its goal will simply be to attract cryptocurrency companies into its territory. The script will actually only hide the business issues and immediate economic profits, far from the dear Bitcoin mentality. Moreover, Vitalik Buterin recently Express some criticism El Salvador’s way of legalizing bitcoin.
We know how quickly Najib Bukil can put laws in his country. If a similar pattern of Bitcoin legalization occurs again, this new crypto legislation should see the light of day soon. For better or for worse? It is difficult to separate the truth from the falsehood behind these new coded intentions of President Nap Bukel. Hopefully, this mockup will not change the adoption of bitcoin and cryptocurrency. Another fiasco.
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