[2018-03-03] Mexican Cryptocurrency Regulations Approved by Congress

[zhongzy]

Mexico’s bill to regulate cryptocurrency exchanges has been approved by the country’s lower house of Congress and is now awaiting the signature of President Enrique Pena Nieto to become law. Crypto operators have 12 months to comply, a local crypto exchange explained to news.Bitcoin.com.

Mexico’s Crypto Bill Approved
Mexican Cryptocurrency Regulations Approved by CongressMexico’s bill to regulate the fintech sector, which includes rules on crowdfunding and cryptocurrency firms, has been approved by the country’s lower house of Congress, Reuters reported. In December of last year, this bill was approved by the country’s Senate. It is now waiting for President Enrique Pena Nieto’s signature.

The bill “seeks to promote financial stability and prevent money laundering,” the news outlet described. The National Banking and Securities Commission (CNBV), the central bank, and the finance ministry will soon begin drafting “secondary laws, which will determine key details for companies in the sector.” They are expected “in the coming months,” the publication noted, adding:

The law will give fintech companies greater regulatory certainty around issues such as crowdfunding, payment methods and rules surrounding cryptocurrencies such as bitcoin.

Changes to the Mexican Crypto Landscape

In an exclusive interview last week with news.Bitcoin.com, Daniel Luévano, the Director of Operations at Mexican cryptocurrency exchange ISBIT, explained what the passage of this bill means to crypto exchanges and its impact on the Mexican crypto ecosystem.

According to him, the law will require cryptocurrency operators to be approved by the Bank of Mexico as Financial Technology Institutions (ITFs). Those ITFs that the central bank approves can legally operate with cryptocurrencies and “all financial institutions [will] have permission to work with” ITFs, Luévano explained. “ITFs will be considered just as important as banks,” he asserted.

Citing that anti-money laundering (AML) and counter-terrorist financing (CTF) measures “will be a really important requirement for exchanges,” he added:

ITFs will be constantly audited; everything must be transparent to regulators and consumers.

Crypto exchanges will have 12 months to comply with the new law once signed by the president, Luévano clarified. As for which cryptocurrencies will be allowed by the law, he said, “the Bank of Mexico will decide which ones [cryptocurrencies] are allowed to be listed on the exchanges.”

Source: https://news.bitcoin.com/mexican-cryptocurrency-regulations-approved-congress/

[CryptoBry]

I do welcome this very good development which has been expected to happen soon since Mexico is very much open to the idea of cryptocurrency and how they can use it to their advantage. I understand that Mexico is a big market and is just waiting to be tapped. This is a big news for many cryptocurrency lovers and supporters right there in Mexico. Right now, we are indeed advancing to a different level as many countries can be opening soon recognizing cryptocurrency as part and parcel of the many new ways that can help towards economic development.

[RamonBTC]

Regulating crypto in Mexico is necessary. We all know how criminal organization works at that part of the world. It is highly recommended to double check every transaction in there as illegal activities rate is rapidly high. It is my first time to 100% agree on any regulation but if it is needed so that the whole cryptocurrency not be affected or be connected on bad things is good for me.

[Baofeng]

I do welcome this very good development which has been expected to happen soon since Mexico is very much open to the idea of cryptocurrency and how they can use it to their advantage. I understand that Mexico is a big market and is just waiting to be tapped. This is a big news for many cryptocurrency lovers and supporters right there in Mexico. Right now, we are indeed advancing to a different level as many countries can be opening soon recognizing cryptocurrency as part and parcel of the many new ways that can help towards economic development.

And it looks like Mexico stance is somewhat lenient. So yes, this is really a welcoming news specially to the Mexican bitcoin community. Local exchanges will likely require KYC for AML compliant which is the norm for a regulated crypto's.

Initially though, I thought that Mexico will implement a hammer ban, but I'm glad they didn't, so this is a win for all of us. And they are what? given 1 year for exchanges to comply, that to lax to begin with. Lol. Good Job though...

[orions.belt19]

This would be good for those who are trading in Mexico because their government has decided to recognize crypto as legal. They have declared to be open to cryptocurrencies and other countries should follow this. However, a disadvantage for them is that through the new regulation, their government would choose which coins would be allowed in the exchanges. Traders would then have a limited choice of coins however this may help avoid the use of said "shit coins".

[Aikidoka]

Good news! Since Mexico has many gangs, mafia, and so on. It is quite good to regulate the cryptocurrencies since people get weapons and other stuff from the darknet. However, let us believe that the government is also going to get benefits from crypto-users because it is not going to recognize them voluntarily. I hope that the other countries like China manage to overcome in believing that the cryptocurrency is a threat to it and accept that it is really helping people out there.