South American nation, Chile has added its name to the list of countries that will soon regulate the cryptocurrency industry, according to reports from a local news agency, Ahora Noticias.
The country’s Finance Minister, Felipe Larraín, reportedly said during a recent visit to the United States that the government will soon introduce to the Congress a bill focused on the regulation of fintech and cryptocurrencies.
He further confirmed that the new bill puts into consideration the different business models used by crypto startups and aims to regulate the space by finding a balance between encouraging innovation and reducing the risk posed to users.
Speaking about the specific risks that Chile could mitigate with the new regulations, he said,
“Regulation of these platforms would mitigate some of the risks, such as money laundering and terrorist financing, and increase the legal certainty with which they operate. We want to adequately protect against the risks associated with this kind of activity.”
The report confirms that until now, many cryptocurrency exchanges operate in Chile without any regulation, a situation that the newly proposed bill will likely change if the plans go through.
Meanwhile, although the Finance Minister did not give a timeline regarding when the bill will get to the Congress, he expressed confidence that it will be passed into law before the end of the year.
As Stmarket.co has reported in the past, 2019 is already turning into the year when different countries finally release regulatory frameworks for the cryptocurrency industry. The U.S though may have to wait a little longer to get its first full-fledged set of crypto rules with lawmakers already making a move in that direction.
Presidential Candidate, Andrew Yang also promised last week, that if elected in 2020, he would make regulating the cryptocurrency industry one of his priorities.