Chile introduces crypto regulations bill

• The bill has chosen to execute regulations proportionally instead of imposing a blanket ban.
• Felipe Larraín, the Minister of Finance of the Chilean government, is confident that the rules, if passed, can mitigate illegal activities using digital currencies.

Felipe Larraín, the Minister of Finance of the Chilean government, has created a bull to regulate cryptocurrencies and other financial technologies. The bill has considered the regulatory needs of the various business models and has chosen to execute regulations proportionally instead of imposing a blanket ban.

Larraín told the local daily Ahora Noticias:  

“Taking into account the different forms taken by the business models of these platforms and also the fact that different platforms can provide different services, the regulation will apply requirements proportionally, regulating according to the type of service provided and the risks that this implies for the users and for the financial market.”

The news article explains that the crypto industry in Chile is growing but they don’t have the proper rules to regulate the industry. Larrian also emphasized the risks involved with crypto trading and he is confident that the rules, if passed, can mitigate illegal activities using digital currencies:

“A regulation to these platforms would mitigate some of these risks, such as money laundering and financing of terrorism, and increase the legal certainty with which they operate. We want to adequately protect the risks associated with this activity.”