Panamas President Now Hesitatent to Pass "Crypto Law"

Panama’s previously thought passed “Crypto Law” has been stopped in its tracks today, by President Laurentino Cortizo who has decided to partially veto the bill.

According to local media La Prensa, the President made the decision because crypto “requires adaptation to the norms that regulate our financial system,”. The bill will now revert back to the country's National Assembly for further debate.

The news came out in April that the Central American vacation hub would possibly be the following Latin American country to legalize Bitcoin, as the country's lawmakers had passed a bill regulating the use of cryptocurrencies.

But last month talks slowed as President Cortizo said he wanted to make sure the bill would be up to global anti-money laundering standards.

The law states that cryptocurrencies will become a valid form of payment "for any legal civil or commercial operation," most importantly to pay taxes and fees owed to the government. While no official list of accepted cryptos has been named Bitcoin, Ethereum, XRP, Litecoin, and Stellar, were highlighted in the bill.

This law will differ from the first Bitcoin-adopting country El Salvador, which made Bitcoin legal tender last year, a business must accept Bitcoin if they have the technology to do so, the law states. In Panama, it is much leaner, only making a business accept it if they want to.

Congressman Gabriel Silva, who was pivotal in the bill drafting of the bill, took to Twitter to show his disappointment, calling the decision a “lost opportunity to generate jobs, attract investment and incorporate technology and innovation in the public sector.”

“The country deserves more opportunities and also financial inclusion,” he added.

As the price of most cryptocurrencies falls one could easily see why President Cortizo is now reluctant to push through with the country's crypto adoption plan, as the first crypto-adopting country El Salvador seems to be in deep trouble with its buys, one can only brace for the impact on its citizens.