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Cuba government issues resolution authorizing the use of cryptocurrencies in the country

The Cuban government intends to release the use of cryptocurrencies as a means of payment, according to a resolution enacted on Thursday (August 26).

Cuba government issues resolution authorizing the use of cryptocurrencies in the country

Cuba government issues resolution authorizing the use of cryptocurrencies in the country

The new rule was created by the Central Bank of Cuba (BCC), responsible for financial regulation in the country.

The measure authorizes the country’s banks and financial institutions to use certain digital assets to carry out commercial transactions and payments. There is no mention of any specific asset, but authorization from the BCC will be required.

“This resolution aims to establish the rules by which the Central Bank of Cuba regulates the use of certain virtual assets in commercial transactions, as well as the granting of licenses to virtual asset service providers for operations related to financial activity, moving and payments in the National territory.”

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The resolution says that the BCC can authorize the use of cryptocurrencies “for reasons of socioeconomic interest”, but with the state assuring that its operations are controlled. In other words, the Cuban government will try, in some way, to oversee the transactions carried out via cryptocurrencies.

However, the resolution itself recognizes the decentralization and anonymity of cryptocurrencies as an obstacle to state control. In this sense, the BCC clarifies that the use of cryptoactives for illegal activities will be monitored and punished.

The text states that cryptocurrencies, as well as institutions, will need licenses provided by the BCC. The rules will be defined based on Decree-Law No. 362 “On the Institutions of the Banking and Financial System”, but the resolution does not contain specific norms regarding this process.

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