Columbia was in the spotlight this week as regulators in the country step in with rules to regulate the increased use of digital currencies. Jehudi Castro, the digital transformation adviser to the President of Columbia, stated that the upswing in digital assets in the country could no longer be ignored. According to Castro, various scams and other consequences of digital asset activities are worth guarding against, as doing nothing will lead to worse circumstances. Statistics from the previous year show that Chilean digital exchange Buda.com had a record of $31.1 million in traded volume in the country. Recent stats on the trading platform show a traded volume of nearly $40 million just in the first three months of this year. Alejandro Beltràn, who is the country manager for Buda.com in Columbia, expressed the company’s excitement over their recent success and stated, “It’s our best year ever.” This he said concerning passing their 2020 threshold in just three months.
According to the 2020 global digital asset index, after Venezuela, Columbia seems to be the fastest-growing digital asset market in the region. Ranked ninth in the global index, Columbia is behind the U.S. by only three places. Also, according to LocalBitcoins, a peer-to-peer digital asset trading platform, Columbia is the third-largest on the platform by trading volume. These did not elude the recognitions of the government as regulators in the country have issued guidelines on digital asset tax and regulations on anti-money laundering (AML). These regulations came in addition to the expansion of the government’s fintech sandbox. A pilot is currently being conducted to allow commercial banks to collaborate with notable international exchanges in testing some services. According to reports, nine out of fourteen applicants were chosen to test banking services for digital assets platforms in the yearlong project. Among those selected by the country’s biggest banks is Buda.com; others like Divivienda bank have partnered with Binance while Bancolombia partnered with Gemini.
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Source: https://www.blockleaders.io/digital-asset-insights-14/
