The intention is to create preventive measures to fight back terrorism as well as to improve transparency. Service providers may register until January 29, 2022.
The Bank of Spain should reveal, in upcoming days, the measures needed for registering bitcoin exchanges (BTC) and other cryptocurrencies, as well as crypto-asset custody platforms.
The measure meets its frame in Law 10/2020 on the Prevention of Money Laundering and Terrorism Financing. It sets up a registration process for every provider of virtual currency exchange services for fiduciary currency and custody of electronic purses.
Subsequently, the Spanish Government revealed a Royal Decree-Law 7/2021, in which the periods were set to put the record in tune. The term consists of six months, it starts on April 29 and reaches its end on October 29.
The decree established that the objective is the improvement of the mechanisms for the prevention of terrorism and to also improve the transparency and availability of information on the beneficial owners of bitcoin exchanges and custody platforms.
Right after October, companies involved with the provision of services with cryptocurrencies would have the opportunity to register until January 29, 2022.
More Strict Regulations
The law also highlights that any person who provides services of exchange of virtual currency for legal tender will be subject to preventive obligations. The regulation also establishes the obligation to register trusts, which are associations of companies that provide financial services, as well as entities of a similar nature that work in Spanish territory.
The single registry will be connected to those of other European Union countries and will remain active to public access and grant all the possible information.
The official provision designates the Bank of Spain as the leading entity in charge of supervising compliance with the obligations and conditions required by the Spanish State.
Regulations Will Mark a New Era
Experts like the financial lawyer and founder of IcoFunding, Alejandro Gómez de la Cruz, have expressed that these regulations will mark a before and after for the providers of services related to cryptocurrencies in Spain. Some analysts believe that harsher regulations will come as a result of these regulations.
Likewise, they argue that this situation will need a considerable rearrangement in the operation and operation of companies and users within the cryptocurrency ecosystem of Spain. Various experts also argue that there is a reduction in the safeguarding of privacy procedures with the single registry.
Other Measures that Spain has Taken Regarding Bitcoin
The European country has been taking steps to regulate bitcoin with more force. Last July, they reformed the Draft Law on Prevention and Fight against Tax Fraud. The regulations make citizens declare the possession of cryptocurrencies in Spanish and foreign custody platforms. Self-custody purses are exempt.
By: Jenson Nuñez
