Mexican Congress to consider Bitcoin status

With a bill set for debate in the Mexican Congress that would allow for Bitcoin to be classified as a digital asset, it seems that the cryptocurrency could be set for a big boost in its quest for legitimacy and acceptance by governments around the world. The bill was proposed by Jose Antonio Meade, Mexico’s Secretary of Credit and Public Finance, and hopes to give Bitcoin an official status which is expected to allow for further investment and stimulate the economy in the Central American country.

If the proposed measure is successful, the Mexican will create a legal definition of what a digital asset is and set guidelines for its regulation. It’s highly likely that Bitcoin will thus become a regulated currency available for use in the country’s financial system. This will open all kinds of doors for its use in an officially-approved way.

With the emeregence of this news, spoke with Sebastain Acosta Checa, a Mexican Bitcoin enthusiast who started the ISBIT Bitcoin exchange. He reckoned that the Mexican government is clearly acknowledging the influence of cryptocurrencies and is hoping to get involved, stating: “The government is recognising how the technological advances have transformed the manner in which people in several industries operate, including the financial sector. It is an official priority of the state to foster the application fo technological innovations to reduce the cost of financial services and widen its use among the population.”

When asked for more details on what the regulations could entail, Acosta Checa explained: “Exchanges must have in their vaults the amount of digital assets that match their liabilities. For example, if users deposited 687 bitcoins […], then we, as exchange operators, need to hold at least that amount in our reserves and be able to prove it in case of an audit. Also, all customers’ assests must be clearly segregated from the exchange operators’ own capital and assets.”

Acosta Checa was positive about the potential consequences of this move: “This regulation will give our industry a boost. Regulated bitcoin exchanges will be considered part of the financial system and will be able to integrate with many aspects of the economy.”

What effect could this have on online gambling? While online gambling exists in Mexico, it is not available to Mexican residents, by way of geoblocking. If Bitcoin becomes a regulated digital asset in Mexico, you can be sure that the Bitcoin gambling sector will see a shift in that direction as operating with Bitcoin will be easier in a country where it can be properly regulated.

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