Seven years have passed since a law was approved allowing the legal use of virtual currencies in Venezuela in an innovative and pioneering manner. Today, however, an update to this regulatory framework appears necessary for an ecosystem in which Bitcoin (BTC) and other digital assets such as stablecoins are inevitably integrated into national economic activity.
This is the subject of discussion at the Venezuelan National Assembly (AN), more specifically at the Assembly’s Subcommittee on Innovation, which has already set up a technical working table to evaluate the community’s proposals and prepare a working document for an eventual renewal or reform bill. Current regulatory framework for the cryptocurrency sector.
This was reported by Genkerve Tovar, Acting Chairman of the aforementioned subcommittee, who attended the Startup Crypto event held this Wednesday, June 10th, at the facilities of the National Experimental University of Greater Caracas (Unexca) in Caracas.
In an exclusive interview with CriptoNoticias, the lawmaker explained: AN is processing your submitted application by different sectors of civil society.
“Currently, from the Parliamentary Innovation Subcommittee, a group of young enthusiasts in the field of cryptofinance and cryptocurrencies has made a proposal to us. “We are conducting an evaluation and several working tables have been established where we can create a working document to present the project,” he said.
Tovar also did not say who these “enthusiasts” were or whether they were people or companies associated with the digital asset sector who had approached the parliamentary subcommittee.
He stressed that the current legal framework based on the 2019 Constitutional Decree requires major structural changes. This is due to the rapid development speed of these financial technologies.
In his opinion, “there is a need to establish order and establish a legal and formal order” in the field of virtual currencies. “In a way that can generate income for the country,” he said.
This mobilization in the Venezuelan parliament is consistent with the regional situation. Several Latin American countries are accelerating regulatory efforts Around digital assets. For example, CriptoNoticias has documented cases in Guatemala, Costa Rica, the Dominican Republic, and Uruguay.
When asked about regulatory progress in countries in the region, Tovar emphatically asserted: Venezuela aims to “keep up to date with the international environment.”
“We must continue to work towards building a working document that will enable us to fully regulate this sector as it should be in the short to medium term,” he insisted.
The underlying debate on this legal reform focuses on overcoming the design of the 2019 Comprehensive Cryptoasset Regime Constituent Order. Toward centralized state control and strict supervision of digital mining.
However, the reality in the Caribbean country, after almost four years of restructuring processes, highlights the disconnect between this legal framework and the actual operation of the sector in Venezuela. Pass the National Superintendency of Cryptoactives (Sunacrip).
The above is evidenced, for example, by the limited number of licenses for cryptocurrency companies operating in Venezuela and the prohibition and monitoring of mining activities ordered by the Ministry of Electricity and Energy.
In any case, with the launch of these technical tables in Caracas, the legislature appears to be trying to reinvigorate the regulatory agenda after years of institutional stagnation. Therefore, as confirmed by the Deputy, citizens’ proposals regarding the regulation of cryptocurrencies in Venezuela will continue to be received directly in Congress.
However, the short-term challenge will be to demonstrate whether the possible legislation will indeed facilitate the formalization of the digital economy. The digital economy is already running on its own. Or whether you are limited to one more control scheme.
(Tag Translation)Bitcoin (BTC)
