On Thursday (28), Panama approved a regulation on the use of cryptoassets in the country. The bill presented by parliamentarian Gabriel Silva recognizes digital currencies as a means of payment.
Although cryptoassets have not acquired legal tender status in Panama, the new legislation on the crypto market acknowledges digital currencies as foreign-source income.
When talking about the adoption of bitcoin as a currency, Gabriel Silva said that this could be considered unconstitutional in the country. Since 1903, Panama has used the dollar as its official currency.
“We can’t just officially acknowledge the bitcoin because that would be unconstitutional, and as such, the project would not happen”.
On social media, the National Assembly publicized the approval of the cryptoasset law. Before the legislative proposal was passed, Panama maintained restrictions regarding the establishment of crypto companies in the country.
“It is approved in third debate the Bill No.697, which regulates the commercialization and use of cryptoassets, to the issuance of digital value, tokenization of precious metals and other goods, payment systems and dictates other provisions”.
Soon after the bill is approved unanimously among the parliamentarians, the proposal goes forward for sanction by President Laurentino Cortizo.
Besides Panama, Brazil recently passed a similar bill regulating the crypto market. Nevertheless, in Brazil, the bill needs to be approved by the House of Representatives before being sanctioned by the President of the Republic.