The Panamanian National Assembly has advanced a cryptocurrency law proposal with the aim to provide more clarity to the sector. The country is making moves to regulate cryptocurrency assets and enterprises.
The National Assembly, which is the country’s highest legislative body, has taken the first step toward regulating the usage of cryptocurrencies. The institution passed a cryptocurrency law project named “Law that regulates the commercialization and use of crypto assets, the issuance of digital value, the tokenization of precious metals and other goods, payment systems and other provisions” during the first discussion.
The proposed legislation covers terminology and concepts for cryptocurrencies, blockchain technology, and the use of these decentralized tools to streamline government operations. According to a social media post from the organization, this authorized project combines two different proposals offered as legislation projects 696 and 697.
Gabriel Silva, one of the law’s early proponents, indicated that the authorized concept had undergone several changes during the first discussion and that it could be improved, in his opinion.
One of the most significant recommendations in the law project is the inclusion of a blockchain-based identification project that aims to digitize the Panamanian state’s responsibility. The following is how the legislation defines the objective:
“Expand the digitalization of the State by promoting the use of distributed ledger technology and blockchain in the digitalization of the identity of natural and legal persons in or from the Republic of Panama and as a means to make the public function transparent.”
Another objective of the presented project is to employ blockchain technologies to improve the transparency of government processes.
