Bitcoin legalization pressured by Mexican senator, despite central bank opposition
Bitcoin has a strong ally in Mexico. The crypto must be accepted as a legal tender, said a Mexican senator.
Nuevo León state senator Indira Kempis is confident that Bitcoin must be recognized as a legal tender because its implementation could promote worldwide financial inclusion.
The bill’s provisions are motivated by the obstacles Mexican citizens face in gaining access to financial goods and education.
However, there are a few cracks to smooth out. The Central Bank of Mexico, for example, has blocked the inclusion of crypto in the country’s economic framework.
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Bitcoin enables participation in the financial system
“It is clear to me that financial exclusion is one of the major problems that few of us have tackled with workable solutions,” Kempis said in February last year.
Image: Cryptonomist
According to the senator, the fact that more than half of Mexico’s population lacks a formal savings account basically boils down to a lack of trust and appreciation in banking institutions, which prevents this part of the population from having access to a formal financial instrument for savings. .
“This type of technology enables us to develop an alternative so that millions of individuals can participate in the financial system,” the senator explained.
In contrast, almost 70 percent of Mexicans have access to financial education, which probably prevents the majority of the population from making rational decisions about savings, credit management and mortgages.
Mexican senator believes in Bitcoin’s potentials
Kempis went on to state that Bitcoin acceptance is a once-in-a-generation chance for nations to face challenges such as inequality and achieve economic inclusion.
– Indira Kempis de I. (@IndiraKempis) February 22, 2022
“Bitcoin must be recognized as a legal tender in Mexico, because if it is not, and if we do not make the same choice as El Salvador, it is extremely difficult to take action,” she pointed out.
In January this year, the Central Bank of Mexico (CBM) said it was developing its own digital central bank currency, the digital peso (CBDC).
It is expected that the Mexican CBDC will be in circulation by 2024 to help Mexicans access financial services and cryptocurrencies such as Bitcoin.
BTC total market cap at $384 billion on the daily chart | Source: TradingView.com
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Since joining in 2018, Kempis has strongly encouraged the cryptocurrency economy in recent years. She has been engaged by a network of crypto entrepreneurs, software developers and advocates for years.
“Now that I’m involved in politics, I’m trying to promote it,” she said.
Others, such as Chia Network, the company behind XCH Coin, are in the process of establishing cryptocurrency mining in the country.
Meanwhile, some Bitcoin miners have already established themselves in Mexico, and others, such as Chia Network, the company behind XCH Coin, are setting up cryptocurrency mining in the country.
Featured image from The Kitchen Community, chart from TradingView.com
