The Crypto bill of Panama failed to get signed by the President because of some flaws and partial information regarding cryptocurrencies’ associated risks.
Panama is the Republic of Panama. This is a transcontinental country in Central America and South America. Because of the influence of El Salvador’s step to adopt Bitcoin as legal tender, Panama seems influenced much and it may follow a similar kind of path with a different strategy.
La Prenda reported that Laurentino Cortizo, President of Panama, said that the proposed crypto bill is “imperative” the cryptocurrency laws conform to new regulations recommended by the Financial Action Task Force (FATF) outlining “fiscal transparency and prevention of money laundering“.
So, Panama’s president claimed that the crypto bill associates some flaws and it should be mentioned under the crypto bill and also to ensure the regulatory framework keeps risks away.
News media also collected a copy of the 32-page veto and confirmed that the president appreciated the proposed bill as an “innovative bill” but partially rejected it because of some fewer development works.
According to reports, Panama’s president already warned that he will not sign the bill until it will consider the included additional Anti-Money Laundering (AML) rules after Panama’s National Assembly passed the crypto bill in late April 2022.
Congressman Gabriel Silva took to Twitter and shared his stance on this thing and noted that the veto was an effort regarding the “ lost opportunity to generate jobs, attract investment, and incorporate technology and innovation in the public sector” in Panama.
Silva also added that country needs more opportunities and it will happen via the proposed bill but here lawmakers will work more on vetoing to fix the flaws and issues associated with it.
According to the available information, if the bill gets introduced officially in the laws of Panama then Panama will become another country like the Central African Republic (CAE) & El Salvador to bring the use of cryptocurrencies in payment systems.
Here strategy of Panama will be different from El Salvador because the proposed bill considering to use of Bitcoin and also many other cryptocurrencies in the payment options and also no one business will be forced to accept crypto-supported payment methods.