El Salvador and Paraguay Team Up to Boost Crypto Regulations

The post El Salvador and Paraguay Team Up to Boost Crypto Regulations appeared first on Coinpedia Fintech News

In a groundbreaking move for the crypto world, El Salvador and Paraguay have joined forces to tackle cryptocurrency regulations. Last Friday, the two nations signed an exciting agreement aimed at improving cooperation on crypto issues. The agreement will help both countries detect and control illegal crypto activities in Paraguay and improve efforts to fight money laundering.

Paraguay’s SEPRELAD (Secretariat for the Prevention of Money Laundering) and El Salvador’s CNAD (National Digital Assets Commission) signed a Memorandum of Understanding (MOU), which aims to enhance collaboration between the two agencies in the cryptocurrency sector.

“The document agrees to promote and facilitate mutual cooperation and the exchange of information between both institutions in the areas of control, supervision and regulation of digital asset service providers,” the document stated. 

CNAD President Juan Carlos Reyes highlighted that El Salvador is paving the way in digital assets, building international partnerships to create a more connected and transparent future. He emphasized that the recent agreement not only encourages innovation but also ensures financial integrity in the global economy.

El Salvador’s CNAD has created one of the most advanced crypto regulations in the world. The CNAD was specifically designed to regulate digital assets, and its tech-focused approach has been praised by crypto companies that have received El Salvador’s Digital Asset Service Provider (DASP) license.

The CNAD is the main authority for all digital assets in El Salvador, meaning anyone operating without a license is breaking the law. It’s unclear if the agreement with Paraguay will set up a similar system there. Besides, El Salvador also signed a crypto regulatory agreement with Argentina’s Comisión Nacional de Valores (CNV) in December.

Reyes shared that CNAD has two main goals for international cooperation: sharing its expertise to help other countries create well-regulated industries and expanding the global presence of El Salvador’s regulated crypto companies.