The Uruguayan government has introduced a bill to parliament that accelerates the regulation of the crypto space in the country and establishes a central bank as a regulatory body.
The bill, which was introduced on September 5, seeks to clarify the country’s regulatory framework for cryptocurrency assets and states that all companies that provide services related to digital assets, including initial coin offerings (ICOs), are under the supervision of the Superintendency of Financial Services ( SSF). , a central bank entity. Cryptocurrency exchanges, custody services and any financial services related to these digital assets should also follow anti-money laundering regulations and best practices.
Additionally, the document defined four types of digital assets: stablecoins, governance tokens, tradable assets and debt tokens, while:
“If the activity carried out with these instruments involves the performance of financial intermediation or financial activity, it will be subject to the regulation and control of the Central Bank of Uruguay.”
Last year Uruguayan Senator Juan Sartori introduced a bill to regulate cryptocurrencies and allow businesses to accept digital payments, seeking to “establish legitimate, legal and safe use in businesses related to the production and commercialization of virtual currencies.”
This development is part of an ongoing wave of legislation or regulations being pushed by governments or lawmakers in Latin America. The Brazilian Securities and Exchange Commission is said to be seeking to change its legal framework recognize tokens as digital assets or securities. In August, the Paraguayan president vetoed the bill which sought to recognize cryptocurrency mining as an industrial activity, arguing that mining’s high electricity consumption could hinder the expansion of a sustainable national industry.