Panama’s National Assembly approved a project to regulate cryptocurrency activities to provide more transparency to this sector. In the first round of discussion, the Assembly approved the proposal. It was made up of two projects that were submitted to the Assembly’s economic affairs commission.
Panama moves to regulate crypto assets
Panama has taken steps to regulate cryptocurrency assets and businesses using them. Panama’s National Assembly is the most powerful legislative institution and has made the first move towards regulation of cryptocurrency. The institution has approved in the first debate a cryptocurrency law project titled “Law that regulates the commercialization and use of crypto assets, the issuance of digital value, the tokenization of precious metals and other goods, payment systems and other provisions.”
Proposed law provides definitions of cryptocurrencies, blockchain technology and how these tools can be used to streamline state affairs. According to social media, this approved project is an amalgamation two separate proposals that were presented as law projects 696 or 697. postFrom the institution.
Gabriel Silva, one of the main promoters, introduced this law first in September. statedThis approved project was subject to some changes during the initial discussion. He believes that it could be improved.
Blockchain is for identification and transparency
The law project’s most significant proposal is the incorporation of a Blockchain-based Identification Project that will digitize the Panamanian State’s duty. As follows is the definition of this goal in law:
In order to expand the digitalization of Panama’s State, we encourage the use of Blockchain and distributed ledger tech in order to digitalize the identity of all natural and legal persons living in Panama. Also, it is used as a transparent way for the public functions.
As part of its objective, the project uses blockchain technologies to enhance transparency and accountability in state functions. It is similar to projects that use distributed ledger tech to improve functions such as tax collection and payments. Brazilian Blockchain Network is another example of this project, which will be used as a platform for government organizations to expand.
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