Crypto Global

Another Latin American country is following suit!

Aug 31, 2021

Cuba wants to recognize and regulate cryptocurrencies. Cuba is not the first country to recognize cryptocurrencies. A few weeks ago El Salvador announced that it would accept Bitcoin as legal tender from September 7th.

A decision published in the Official Gazette says that the Central Bank in Cuba will create and set rules for these currencies such as Bitcoin. Among other things, it should be clarified how providers of corresponding services are licensed in Cuba. The Cuban state plans to approve the use of cryptocurrencies for reasons of socio-economic interest. Accordingly, the Cuban government is currently working with the central bank. The aim is to legalize crypto currencies such as Bitcoin as a means of payment, but at the same time not to lose control. The bank is expected to formulate the official framework for the use of cryptocurrencies, including the licensing of crypto providers who wish to offer financial services in the country.

Cuba's economy is suffering severely and in the course of a currency reform the Cubans had to say goodbye to the Dollar and fall back on their own currency. And sending US dollars to Cuba and using US dollars in Cuba has become more and more difficult, also because of the tightened embargo rules under the former US President Donald Trump. This resulted in the popularity of cryptocurrencies growing among a tech-savvy segment of the population in Cuba.

This change in Cuba gives us a kind of what is happening everywhere else. China is already introducing the digital Yuan. El Salvador has already introduced Bitcoin as legal tender. Mexico is introducing similar laws, as Eduardo Murat Hinojosa, a Mexican lawmaker in the federal government, said in a tweet that he would "I will be promoting and proposing a legal framework for crypto coins in Mexico’s lower house." And some other South American countries are doing the same. We know that Russia recently signed a new cryptocurrency law which, while lifting the previous ban on cryptocurrencies, still imposes severe restrictions on its use in the form of monetary currency.

It is remarkable how the crypto adaption takes place. People all over the world are fed up with the monetary system. It doesn't work in so many places, so they choose something that isn't unfavorable for them. The form of hard currency is on the rise!