Mexico Is Not Yet Planning On Following The Example Of El Salvador On BTC

The financial regulators have issued a warning which seemingly targets Ricardo Salinas Pliego, who stated that his bank would be explored as he accepts Bitcoin (BTC). The warning from the financial regulation is to act against the crypto handling financial institutions as in the country the positions of digital assets is not that of a legal tender up till now.

A joint warning statement has been issued against the digital asset investors who utilize crypto as a store of value as well as a medium of exchange by representatives from the National Banking and Securities Commission as well as from the financial ministry of Mexico in a press conference held on Monday. It was declared in the conference that there is no authorization sanctioned to any financial institution which is Mexican-based for using or proposing anything with the virtual assets, especially (XRP), (ETH), and/or (BTC) to the public operations.

It seems that Ricardo Salinas is being targeted by the central bank and the financial regulators of the country in the recently issued Bitcoin announcement. He, being the third wealthiest person in Mexico, mentioned on Sunday that there is an expectation that his bank ‘Banco Azteca’ would accept BTC in an attempt to boost the vast ranged adoption of the coin.

Nonetheless, Arturo Herrera, the finance minister, pointed out that there is a restriction imposed by the authorities from using cryptocurrencies in Mexico, adding that it has turned into a policy that is probably not going to change shortly. It has been further included by the authorities that the potential uses of its technology as well as the advancement in the cryptocurrency would be tracked by them, but the limitations of crypto assets such as being volatile, speculative, and less practical method of exchange make them less reliable than the traditional exchange.

At the same time, when Mexico holds fast to its seemingly firm counter-crypto stance, its nearest countries have opposed it by encouraging crypto as an adequate currency for business by accepting Bitcoin. El Salvador has passed legislation that declares BTC to be incorporated in the country’s exchange as a legal tender. Similarly, Carlos Rejala, the congressperson of Paraguay, has also disclosed that an identical bill is expected to be proposed by him in the national parliament of Paraguay on the 14th of July.