Financial regulators: The Colombian government still does not recognize the legal status of Bitcoin currency

nnnnThe head of the highest financial regulator in the Republic of Colombia cites domestic legal provisions, saying that the domestic government does not accept the legality of the payment of Bitcoin, but it does not make clear its illegal. But warned the national vigilance related to monetary fraud, but the number of domestic Bitcoin users or has been increasing.n
nnTranslation: Annie_Xun
nJorge Castano Gutierrez, head of the highest financial regulator in the Republic of Colombia, said the government still did not authorize or determine that financial transactions could legally use Bitcoin.n
nThere is no plan to announce its illegal, the top financial regulator to clarify the government’s view of the digital currency.n
nThe Colombian government’s Bitcoin positionn
nThe currency of each country is different. Many countries clearly use different payment models to regulate the use of electronic money, but others do not recognize. The Republic of Colombia is one of the countries that do not use the currency as the government currency.n
nGutierrez stressed that the domestic position on the digital currency, quoted 31 of the six law, pointed out that the only domestic monetary unit and the unit is the Bank of Colombia (Banco de la Republica) issued by the peso.n
nHe then quotes Article 8 of the same legal provision, and the bank notes and coins issued by the bank must be peso and the only legal payment method in the country. So Bitcoin is not a national currency because it is not a way of payment or money.n
nn”Bitcoin is not an asset that can be used as a currency because it does not have any national central bank support.”n
nBased on Bitcoin’s Ponzi scheme in Colombian
nPonzi scheme based on Bitcoin is one of the reasons why the government is strongly opposed. Gutierrez has warned the public that the potential risks of Bitcoin have banned banks from handling electronic money.n
nGutierrez also said that people involved in the pyramid of the Bitcoin, who cheated Colombian citizenship, would face up to 20 years in prison. The organizers and facilitators of the relevant business will be charged with the crime.n
nThe current currency is not authorized, but not prohibitedn
nAlthough the government has warned against Bitcoin, the government has not formally adopted the law on how to treat electronic money. The encrypted currency is not authorized and is not banned. In fact, the number of Bitcoin users has been increasing.n
nLocalbitcoins website shows that the Colombian peso week trading volume has more than 2 billion.n

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