[CLARIFICATION] Madeira Island will not adopt Bitcoin

[joker_josue]

I created this topic, with the aim of limiting/clarifying a rumor/inaccurate information, which has been spread on the internet, and in media related to the cryptocurrency world. In this way I hope that the entire community is properly informed about this matter.


CONTEXT
The President of the Regional Government of Madeira was present at Bitcoin 2022 - Miami^[1]. He made a short speech, where he said he believed in Bitcoin and its technology, and informed that Madeira, in addition to being a region with good weather conditions, people and companies that have Bitcoin and make transactions with them, do not pay taxes. He also said that Madeira has infrastructure prepared to host technological companies, as it is one of the regions in the EU with the lowest taxes and therefore one of the best places for crypto investors to take advantage of.


ORIGIN OF THE RUMOR / INACCURATE INFORMATION
After this speech, it began to be spread by the media linked to the world of cryptocurrencies, and beyond, that the information that Madeira Island would adopt Bitcoin as legal tender. This happened because, the president of Madeira spoke, during the segment entitled "Countries Adopting Bitcoin as Legal Tender". In addition, the presenter, upon receiving Miguel Albuquerque (the president of Madeira) on stage, states that Madeira was going to adopt Bitcoin.^[2]


REALITY
In Portugal, including Madeira Island, cryptocurrencies are not taxed, nor are there any capital gains payments on gains from cryptocurrencies, until this moment. Madeira Island is an autonomous region and has its own tax regime, with lower taxes compared to the rest of the country.There is what is known as the  Free Zone, referring to the International Business Center of Madeira, where it also has a special tax regime for companies located there, with lower taxes.^[3]


OFFICIAL INFORMATION
As this information spread through the media, the office of the Presidency of the Regional Government was forced to deny this information:^[4][5]

According to the office of the Presidency of the Regional Government, Miguel Albuquerque "said what he said", not having announced that Madeira would adopt Bitcoin. It is legal to use the currency in personal transactions, but, as an Autonomous Region of a country that, moreover, belongs to the European Union, Madeira would not be open to adopting Bitcoin as a legal tender.

WHAT IS REALLY HAPPENING
What will be done is a study of how Madeira can better implement cryptocurrencies in its tax system, trying to become more user-friendly for companies linked to cryptocurrencies.^[6] This is with the aim of attracting more companies linked to the capital market and making technology have a greater weight in GDP than tourism^[7], and this may go through cryptocurrency technology.^[8]


SUMMARY
Madeira Island in Portugal will not accept Bitcoin as legal tender. And that was never really said by the president of Madeira. In his participation in the conference in Miami, the president of Madeira, I only inform what is already possible and the advantages for those who have Bitcoins and work in this area. The aim was really to promote the island to the community and attract more investment.^[9] It is true that he did not deny the presenter - who said that Madeira would adopt Bitcoin, but it is also true that in his speech he never says that this will happen.


___
Note: The references/sources indicated are all in Portuguese, as it is easier to show the truth using the Portuguese media. Because we are talking about a Portuguese territory. If you want more clarification, I can try to help.  

^[1] https://bitcointalk.org/index.php?topic=5393432.0
^[2] https://www.dnoticias.pt/2022/4/8/305333-revista-forbes-comete-erro-replicado-pela-imprensa-regional/
^[3] https://www.ibc-madeira.com/pt/news-menu/publications/160-madeira-n%C3%A3o-%C3%A9-um-para%C3%ADso-fiscal.html
^[4] https://www.dnoticias.pt/2022/4/8/305333-revista-forbes-comete-erro-replicado-pela-imprensa-regional/
^[5] https://www.moneytimes.com.br/bitcoin-btc-regiao-de-portugal-desmente-adocao-da-cripto-como-moeda-legal/
^[6] https://funchalnoticias.net/2022/05/25/ram-adquire-servicos-para-implementacao-de-criptomoeda/
^[7] https://leitor.jornaleconomico.pt/noticia/queremos-ter-fundos-de-capital-de-risco-e-de-criptomoedas-na-madeira (paid article)
^[8] https://www.jornaldenegocios.pt/mercados/criptoativos/detalhe/albuquerque-quer-bitcoin-como-trunfo-da-madeira (paid article)
^[9] https://www.dnoticias.pt/2022/4/11/305736-ida-aos-eua-foi-das-maiores-promocoes-da-madeira-que-se-fez

[Lucius]

There is a thread in the Bitcoin Discussion in which this matter has been clarified, although some (including me) started rejoicing too soon without taking into account that Madeira is part of the EU and that such decisions cannot be made exclusively at the national level.

I don’t know how much Madeira is a better candidate for some kind of crypto hub compared to Malta or Gibraltar who has also pointed out in the past that they are or will become crypto-friendly countries. The problem will always arise when various crypto companies start doing business in such areas and come under the radar of various international agencies on suspicion of money laundering or possible terrorist financing.

[joker_josue]

There is a thread in the Bitcoin Discussion in which this matter has been clarified, although some (including me) started rejoicing too soon without taking into account that Madeira is part of the EU and that such decisions cannot be made exclusively at the national level.

I hadn't noticed this topic! I apologize for duplicating the information.
But as I have still read the insistence on this subject - rumor, I thought it was good to create a topic to clarify.

[Lucius]

I hadn't noticed this topic! I apologize for duplicating the information.
But as I have still read the insistence on this subject - rumor, I thought it was good to create a topic to clarify.

I don't see anything wrong with stating the real facts, because some don't read anything more than the title and the first post anyway, and some even have a Bitcoin discussion board on ignore. The Bitcoin conference in Miami has been announced for a long time and everyone was expecting some positive news, and since the President of El Salvador announced a few months earlier that two more countries would declare Bitcoin a legal tender, some misinterpreted the news about Madeira and Próspera.