By Nathan Ferguson
Called out for its mediocre strategies against the issue of money laundering, the authorities at Panama have been working hard to develop a new bill regarding cryptocurrency trade.
South American country, the republic of Panama has been called out several times for their low effort in combatting issues such as money laundering that is present in the cryptocurrency trading scene there. So, to better deal with this issue, a new regulatory bill regarding cryptocurrencies was released last month.
Stricter Regulations for Money Laundering
The President of Panama, Laurentino Cortizo is now actively looking to address the issue and has called out the relevant authorities to develop more stricter rules and regulations towards money laundering. Despite the legislation passing the new cryptocurrency law last month, President Cortizo stated He is not willing to sign the approval for the new cryptocurrency law until it is made sure that it boasts stricter rules to handle money laundering and that those rules follow the international standard.
The main reason to why President Cortizo wasn’t willing to sign to bill was because there was insufficient information on it, as He stated that He must work carefully regarding this issue, because anti-money laundering measures are important. If the new law is formally initialized, it will allow every cryptocurrency exchange in the country to apply for a legal license to operate and will also regulate every cryptocurrency transaction performed.
The crypto law will also assist the government in listing public track records on the blockchain. Many have speculated that with the approval of this new law, the country of Panama will become a considerably appealing region for many popular firms that want to enter the South American financial space. Despite Him wanting more from the bill, President Cortizo did state that the new cryptocurrency law is quite innovative in terms of the regulations it brings.
President Cortizo’s Dedication
President Cortizo’s stance towards combatting money laundering is truly justified, as the country was marked for having weak laws against money laundering by the Financial Action Task Force. Showing his activeness towards the matter, President Cortizo has made a pledge to work on this matter effectively and bring stricter punishments for those involved in the crime.