A senator from Uruguay has introduced a bill on the floor of the country’s senate to adopt cryptocurrency as a means of payment and regulate crypto use in the South American country.
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The bill, presented on Tuesday by Senator Juan Sartori seeks “legal, financial and fiscal security in the business derived from the production and commercialization” of cryptocurrencies. He explained that the bill do not accept cryptocurrency as a legal tender.
If the bill becomes law, the government will issue cryptocurrency exchange companies license to operate in the country and will enable companies to trade crypto assets on exchanges available in the country. A second license would allow storing, holding or safekeeping crypto assets while third license would be used to issue cryptocurrency assets or utility token with financial characteristics.
According to the bill, licenses would only be given to entities that are in compliant with anti money Laundering Secretariat ( Senaclaft) and the Central Bank of Uruguay. For other transactions, ” the use of all these instruments will be free and will not require prior consent, permit or licenses.”
The bill also specified the regulation of cryptocurrency mining . Miners would not need special license but will need permits from Uruguay ministry of Industry, Energy and Mining in order to operate.
If the bill takes effect as law, Uruguay will join it’s South American counterpart El Salvador as a country who have adopted cryptocurrency into the mainstream finance of the country. El Salvador is a step further as the only nation that has adopted Bitcoin as a legal tender.