Paraguay will regulate the digital assets industry

The proposed law includes criminal and administrative sanctions and considers mining as an innovative digital industry

Deputy Carlos Rejala and Senator Fernando Silva Facetti presented a legislative proposal called “Law that regulates the industry and commercialization of virtual assets and crypto assets“. The law will regulate all activities related to Bitcoin (BTC) or digital mining in Paraguay.

The legal instrument establishes the Ministry of Industry and Commerce as the entity responsible for coordinating the authorization, registration, supervision and control of everything concerning Bitcoin.

The Ministry will delegate functions to three other agencies: the National Securities Commission, the Secretariat for the Prevention of Money or Property Laundering (Seprelad) and the National Electricity Administration. The latter will focus on cryptocurrency mining, which is defined by the deputies as an innovative activity.

“We believe that it is the best for our country and a really impressive model to replicate in other countries. There are a lot of people involved to remove this, which is incredible”, highlighted the parliamentarian Rejala.

Business authorization

The proposed law is made up of four chapters and 22 articles, among which the application and issuance of licenses for mining companies, cryptocurrency traders, who are called “intervening agents” are contemplated.

It also establishes the development and registration of exchanges and service providers for digital assets, as well as the construction of an energy consumption plan that allows supplying the emerging industry.

The law establishes that “those companies or individuals that carry out activities outside the regulations could be sanctioned with administrative or even criminal measures. That is, offenders could go to jail“. Those who commit “tax or criminal offenses regulation could lose licenses and receive fines.”

M. Rodríguez

Source: noticiasdebariloche

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