In an unprecedented move in the region, Costa Rica could become the first country in the world to give constitutional status to Bitcoin and digital world rights. This is stated by attorney Stephanie Sanchez (Miss Crypto Attorney), the main proponent of the Decentralized Industries Framework Act.
“We want to bring Bitcoin into the Costa Rican constitution,” Sánchez assured CriptoNoticias. “What I propose is to constitutionalize the guarantees of the traditional world from that field to the digital world, because that is where the digital world starts to control us. We are taking advantage of the fact that we are at the right moment in history to include at the constitutional level these rights that were not covered in this new digital age.”
The proposal consists of a broad body of legislation, which lawyers describe as “civil law for digital and decentralized industries.” This initiative targets cryptocurrencies. Free self-custody, DAO, real world assets (RWA), blockchain traceability For transparency, decentralized banking, the protection of open source as an extension of freedom of expression, and the creation of a Decentralized Industry Authority.
“This regulation will be like a general framework, like a constitution for digital assets,” Sánchez explains. “More specific technical regulations could emerge from this constitution.”
There is currently only one project under discussion in Costa Rica that focuses on compliance with FATF standards and regulations to minimize money laundering (AML) for digital asset service providers (VASPs). Sanchez said the initiative meets international commitments, but does not provide real legal security for the industry or promote its development.
The Costa Rican Blockchain Organization (Asoblockchain) is promoting the project and facilitating public consultation. “We are very willing to cooperate with regulators, but as long as there are clear rules of the game,” Sanchez pointed out.
New proposals aim to bridge this gap with a humanistic approach, using technology as a service to citizens rather than as a control tool. The lawyer, who has experience as a criminal lawyer in the traditional system, harshly criticizes the lack of professional knowledge among civil servants.
“Costa Rica was missing out on all of this simply because of the lack of technical capacity of its officials. I’m not going to continue to allow that because I know all the potential we have as a country,” he says.
Differences from other regulatory models
The initiative includes international best practices (El Salvador, Paraguay, European and American regulations) but seeks to overcome their limitations through comparative law research.
Unlike El Salvador’s Bitcoin law, Costa Rica’s proposal includes interoperability mechanisms between traditional and decentralized financial systems, a technology free zone with tax incentives, and a specialized regulatory authority to serve as a bridge and educate.
We also consider the taxability of digital assets. “Bitcoin has full sovereignty. If it is not acquired on a centralized exchange, it should not be subject to capital gains tax,” the lawyer argued, respecting Costa Rica’s territorial income principle.
Additionally, we defend self-custody as a fundamental right. Sanchez emphasizes the potential of so-called “blockchain technology” (which is none other than Bitcoin technology) beyond cryptocurrencies.
“This is not just a crypto project. It’s a more advanced project that includes open source protections, considering that writing code is a form of freedom of expression.”
This project also Tackling mining and energy use issues. With over 98% renewable energy, Costa Rica has ideal conditions for the development of data centers and sustainable mines.
Sánchez pointed to local successes, such as projects that harness surplus energy without violating the state’s electricity monopoly, demonstrating that innovation is possible while respecting the country’s conservationist approach.
A public consultation on the project will be held from 15 May to 15 June 2026. Community can send contributions and suggestions. At the end of that period, the document is amended and submitted to the Legislative Assembly.
Sánchez is confident that the project will be supported by the ruling party and moved forward in this parliament, coinciding with discussions on a possible “Third Republic” and constitutional reform.
If approved, Costa Rica will not only become a nation; The first country in the world to promote Bitcoin and digital rights Although it is at the constitutional level, it will position itself as an important constitution. hub web3 from Central America.
This will attract foreign investment, foster local innovation, create skilled jobs and strengthen the country as a regional benchmark in economic freedom and digital sovereignty.
In this way, Costa Rica will take a historic leap toward a modern economy where technology serves its people, increases competitiveness, and protects individual freedom in the digital age.
(Tag translation) Bitcoin (BTC)
