Cryptocurrency market update: Venezuela crypto rules now active

Venezuela has finally been able to complete the process of having a legal cryptocurrency framework. A new crypto bill was passed into law on January 31 and later published in the official media out of the government.

The new framework contains rules that will govern miners, entrepreneurs dealing with cryptocurrency related products and even regular traders. The bill was passed by the Constituent National Assembly, a body that was put together in 2017 as an alternative to the country’s Parliament.

The new crypto framework titled “Constituent Decree on the Integral System of Crypto Assets” and has 63 articles. It defines various cryptocurrency key terms, for example, digital assets, blockchain, and mining among others. It also describes a sovereign crypto asset as a currency that is issued in Venezuela as well as licensed by the government.

Fines have been stipulated for unlicensed activities. In addition, the regulatory body formed in 2018, Sunacrip has been given the powers oversee the working of cryptocurrency related businesses and activities in the country. Sunacrip will the power to carry out the inspection of mining forms as well as confiscate equipment belonging to the firms.