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Uruguay introduces bill to allow cryptocurrencies

Juan Sartori, senator of the Oriental Republic of Uruguay, has introduced a bill seeking to allow cryptocurrencies in his country. Through the bill, digital coins will be recognized under the law in Uruguay. By doing so, local businesses can legally support them, and therefore residents can use them in day-to-day life.

The bill talked about the acceptance of cryptocurrencies under the law. In addition to that, the bill also wants to add cryptos as a mode of payment alongside traditional systems.

Senator Sartori is a member of the ruling party in the country. His party holds 10 out of 30 seats in the Senate. If the bill is passed through sufficient support from other parties, the government of Uruguay will issue three types of licenses for all kinds of businesses using cryptocurrencies.

The three licenses are:

  • First license will allow “companies to trade any crypto-asset such as intermediaries (exchanges) except transactions of non-financial origin.”
  • Second license allows storage, safeguarding and holding on to crypto assets.
  • Finally, Third license allows support for issuance of “crypto-assets or utility tokens with financial characteristics.”

In addition to that, the National Secretariat for the Fight Against Money Laundering and Terrorism Financing (SENACLAFT) will control license holders.

Senator Sartori further gave heed to the need for crypto regulation in Uruguay. He stated that adopting crypto regulations can protect investors while promoting investment in the country.

As of now, a lot of countries are pursuing legalizing cryptocurrencies in the country. El Salvador started this move earlier by incorporating cryptocurrencies in the country by law. After the country’s president tweeted about the move, countries like Panama also hopped on the idea of supporting cryptocurrencies.

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