Mexico’s president exclude the use of crypto as legal tender
The Bank of Mexico and the National Banking and Securities Commission published a joint statement earlier this year cautioning financial institutions against dealing in digital assets, but the president has not often addressed the matter directly.
Mexico’s President Andrés Manuel López Obrador stated the nation was unlikely to follow El Salvador’s lead and accept cryptocurrencies such as Bitcoin alongside conventional currency.
In a Thursday news conference, Obrador, also known as AMLO, said that Mexico’s financial management must “maintain orthodoxy” and that the country’s stance on cryptocurrency will not change. The Bank of Mexico and the National Banking and Securities Commission published a statement in June cautioning financial institutions that they were “not allowed to conduct or offer to the public activities using virtual assets,” but the president has not often addressed the matter directly.
AMLO was replying to a reporter’s question on whether Mexico would consider following El Salvador’s lead and accepting Bitcoin (BTC) as legal currency in September. He said that although there have been many financial advances, Mexico should also be cognizant of tax evasion problems.
At least two Mexican legislators have suggested that the nation embrace digital assets in order to “lead the transition to cryptocurrency and fintech.” Ricardo Salinas Pliego, a millionaire and founder of Banco Azteca, has also said that the big bank might consider accepting cryptocurrency. Though the nation has many people in both the public and commercial sectors that support the usage of cryptocurrency, officials warned in 2020 that cartels were increasingly launder money through digital assets.
While other nations in Latin America seem to be heading toward more crypto acceptance, El Salvador has faced opposition after President Nayib Bukele’s declaration that he would go ahead with making Bitcoin legal currency. Residents of the nation’s capital city set fire to a Chivo crypto kiosk in September as part of a protest march against Bukele’s policies.