According to PANews, Colombian Senator Gustavo Moreno and Congress Representative Julián López have introduced a bill aimed at establishing a legal framework to protect cryptocurrency users in the country. Moreno highlighted that the absence of regulation allows cryptocurrency exchanges and other companies to operate in an unregulated environment, posing uncertainty and risks to customers.
The proposed legislation includes 16 provisions covering monitoring, marketing rules, education, cryptocurrency taxation, and anti-money laundering and counter-terrorism financing measures (AML/CFT). The lawmakers stated that by ‘protecting users,’ the bill could also encourage cryptocurrency investment in the long term. Additionally, the bill seeks to introduce a licensing system for cryptocurrency operators, requiring them to register as Virtual Asset Service Providers (VASP). In other countries, VASP licensing systems typically aim to ensure that cryptocurrency exchanges and wallet companies comply with AML/CFT protocols.
Since 2021, the Colombian Financial Superintendency has been conducting pilot projects related to cryptocurrencies. However, these pilot projects have yet to produce a ‘specific regulatory framework.’
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