As reported previously, the US House of Representatives passed the Token Taxonomy Act in order to clear the air around cryptocurrency and bring in more clarity with regards to its nature as being different from securities. Following their example, after a visit to the United States, Chile’s Finance, Minister Felipe Larrain has put forward a bill for the more informed regulation of cryptocurrency and Fintech in his country as well, as reported by the local news portal Ahora Noticias. Larrain believes that new regulations would be beneficial for the business industry.
The Aim of the Fintech and Cryptocurrency Regulation Bill
The rules, as Larrain explained, would take into account the individualistic nature of businesses and crypto exchanges which all possess a different set of propositions and risks for digital currency users. Ahora Noticias also reported that there are many unregulated cryptocurrency exchanges in Chile and the number is steadily growing.
The bill that was introduced by the Finance Minister focuses mainly on flexibility due to the ever-growing technological landscape in the country and around the world. Hence the regulation, though strict, would maintain a scope of growth for the coming years.
What the Finance Minister Said
The Minister coupled the declaration of the bill along with some insight of his own, stating, “Regulation of these platforms would mitigate some of the risks, such as money laundering and terrorist financing, and increase the legal certainty with which they operate. We want to adequately protect against the risks associated with this kind of activity.”
The Central Bank of Chile believes that cryptocurrency can never replace real currency, yet the usage of exchange platform and crypto dealings are growing steadfastly in the country. The antimonopoly court plays a vital role in keeping the accounts of various exchanges in the bank from closing.
With the current economic amendments done by the Finance Minister regarding crypto exchanges in the country, the future of digital currency looks brighter for Chile.