According to the organization, four circulars published by the Central Bank of Mexico, following the Fintech law, “establish current and potential barriers in the financial market.”
The Blockchain Mexico Association, which was formed last year, publicly presented its position against circulars 10/2018, 11/2018, 17/2018 and 18/2018 of July and December 2018, which were published by the Bank of Mexico, after the Fintech Law. According to the organization, these circulars “put the sector at a disadvantage compared to other countries and other competitors.” They also consider that they “establish current and potential barriers in the financial market and could limit the inclusion of users in new technologies”.
Created at the beginning of December 2018, the Blockchain Mexico Association integrates recognized companies based on Blockchain technology, such as Bitso, Volabit, BIVA, GBM, Consensys, Lvna Capital and Exponent Capital.
What do the Circulars say about Cryptocurrencies?
Circular 17/2018 and Circular 18/2018 are mainly addressed to participants of the Interbank Electronic Payment System (SPEI) that use virtual assets. The media points out that, according to the Association, “these measures limit the use cases such as remittances, instant payments, and financial inclusion. On the other hand, they generate a decline in the competitiveness of companies in the sector with their global competitors.”
The aforementioned circulars refer specifically to the fact that “all participants in the Electronic Payment System (SPEI) that are involved in the transfer of funds for the purchase or sale of virtual assets have an obligation to identify those accounts belonging to the clients that carry out the transactions, to implement additional validations prior to the accreditation of resources coming from operations via this payment system “.
The Association rejects these regulations because they go against one of the premises of Blockchain technology. However, it is not the only country where these types of measures are applied.
The Blockchain Mexico Association has expressed its support with the commitment of the government of President López Obrador to implement the new technologies within its financial policy.