Cryptocurrency and Mining Law Passed by Paraguayan Congress 6 The month was finally shelved on December 5th. The document, which was meant to bring order to cryptocurrency mining and exchange activity in Paraguay, was eventually withdrawn after failing to get the votes needed to overturn the president’s veto.
Paraguayan encryption law withdrawn after lack of support
was eventually shelved because it didn’t get. Vice House. The project, which was rejected by President Mario Abdo in September, failed to gather the votes needed to reject the veto.
The veto had previously been denied by the Paraguayan Senate, which aimed to approve and pass laws without the support of the president. It had the support of the committee. Meanwhile, the Economic and Financial Affairs, Anti-Drug Trafficking Commission, and Related and Serious Misconduct Commission rejected the motion.
Several lawmakers questioned the veto power and said the issue of cryptocurrencies must be studied and regulated because of its importance. He criticized the result and said the move would keep the subject of cryptocurrencies to “absolute informality”.
Reasons for supporting the veto motion
One of the biggest reasons for President Mario Abdo and other lawmakers to veto the bill outright has to do with power decisions. Delivered to cryptocurrency miners. Abdo said cryptocurrency mining is an activity that “consumes a lot of electrical energy but uses very little labor.”
The law also placed limits on the fees cryptocurrency miners pay for the electricity supplied to their operations. This clashes with how electricity tariffs are determined by the National Electricity Authority (ANDE), which backed the denial after discovering several cryptocurrency farms illegally connected to the electricity network.
Arnaldo ・Deputy Commissioner Samaniego argued that rejecting the veto motion would put ANDE in a bind and could result in a loss of up to $30 million. Deputy Jose Rodríguez also supported this position, explaining that the organization was unable to operate due to losses resulting from the legislation.
must once again propose and debate a virtual new cryptocurrency law.
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