Uruguay Introduces Cryptocurrency Law in Parliament

The executive power of the Parliament of Uruguay introduced a new cryptocurrency bill. This bill clarifies how crypto assets are to be regulated in Uruguay. It gives the Central Bank of Uruguay jurisdiction over crypto assets and modifies its organic charter. The Superintendence of Financial Services is the new organization that will oversee providers of virtual asset services.

Uruguayan Executive Power Proposes Crypto Bill

Uruguay's executive has submitted a bill to the Parliament with the goal of clarifying the regulations for cryptocurrency-related activities. If approved, this bill will be the first to address the grey area in which virtual asset service providers and cryptocurrency exchanges operate in Uruguay.

The bill proposes to amend the Organic Charter of the Central Bank of Uruguay. It also introduces the Superintendence of Financial Services as the primary overseer of activities of virtual asset service provider providers. This document defines that the class includes custody providers, companies that facilitate virtual asset purchase and exchange, and third parties who lend financial services in connection with the sale or offer of virtual assets.

The bill adds a new category of organization called "virtual assets issuer". This refers to a platform that issues any type or regulation-compliant virtual asset, and requests admission to regulated virtual assets on a virtual trading platform.

The main crypto watchdog will be the Central Bank of Uruguay

The proposed bill, like other projects in the region that establish institutions as the principal crypto watchdogs in the area, places all supervision related to these tasks under the control of the central bank. The document states:

The proposed modifications will make it so that both previously regulated subjects as well as newly formed entities operating with virtual assets are subject to the supervision of the Central Bank of Uruguay.

Virtual asset securities are also mentioned in the text. These virtual counterparts to financial securities are well-known.

Previous attempts to legalize crypto as a method of payment in the country have failed. This goal was achieved by Senator Juan Sartori's cryptocurrency bill proposal. In August, the Central Bank of Uruguay summoned Binance for offering savings-oriented cryptocurrency-based financial services.

What are your thoughts on the most recent crypto bill proposal in Uruguay's parliament? Leave a comment below.

By: Sergio Goschenko
Title: Uruguay Introduces Cryptocurrency Law in Parliament
Sourced From: news.bitcoin.com/uruguay-introduces-cryptocurrency-law-in-parliament/
Published Date: Tue, 13 Sep 2022 06:00:14 +0000

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