Mexico’s Crypto Crack Down Confusion & New Currency Giving You Free Money For Your Eyeball
Today we’re breaking down our news into little fudge squares that have been disgustingly burnt and turned into a lava cake.
Mexico is throwing a red flag at crypto and kicking them out of the financial system. This is an article from CoinDesk:
“Mexico’s Finance Minister Confirms Crypto is Banned From Financial System”
Now before you go all flippity-floppity, and freak out that crypto is being removed from the planet, let’s clarify what this means.
This statement is interestingly timed as it comes right after an announcement from billionaire Ricardo Salinas Pliego, who said that he was working to make Banco Azteca, the first bank in Mexico to accept bitcoin.
So when the government came out and announced that cryptocurrencies could not be accepted by banks it didn’t quite make sense.
In a joint statement the central bank of Mexico, the finance secretary, and the national banking and securities commission specified that cryptocurrencies are neither legal tender assets nor currencies under the current legal framework. This document said that financial institutions in Mexico, are not authorized to deal with virtual assets such as bitcoin, ethereum, XRP, or others.
So does this mean that you cannot trade cryptocurrencies in Mexico? Can you not use exchanges in Mexico? Not necessarily. What the government is cracking down on is banks accepting cryptocurrencies as deposits from customers. In general, this will make it hard for the financial system to accept cryptocurrencies as legal tender, for businesses to accept cryptocurrencies as payment, and for cryptocurrencies to act as a currency in Mexico.
This does not ban Mexicans from using cryptocurrency exchanges, it just makes it clear that if they plan to deposit bitcoin in their bank account, it won’t be able to happen in the near future.
It’s a strong move by the Mexican government considering that “Mexico is the headquarters of Bitso, the largest cryptocurrency exchange in Latin America. In May, the company raised $250 million in its Series C funding round and reached a $2.2 billion valuation.”
Seeing as this announcement from the Mexican government to ban cryptocurrencies from their financial system comes on the heels of a bank planning to accept bitcoin as legal tender, we can infer that crypto exchanges are still running in Mexico. However, you won’t be able to deposit your cryptocurrency into a bank there anytime soon.
So if you’re trying to ‘shake your booty’ in Mexico and get paid in cryptocurrency you might want to head over to Paraguay or El Salvador, because they’re not drinking the ‘FUD juice’ that Mexico is drinking.
“Earlier this month El Salvador passed legislation declaring bitcoin would be accepted as legal tender, and a congressperson from Paraguay, Carlos Rahala, said that he would be introducing a similar bill in his country’s national parliament on July 14th.”
If want to get out of the ‘FUD mud’ then you might want to head to El Salvador or Paraguay because they are on the leading edge of national adoption of cryptocurrencies and bitcoin into their financial systems.
Speaking of ‘shaking your booty,’ in the near future you may be receiving a universal basic income, which will allow you the precious time to perfect your booty shaking skills.
Sam Altman the former CEO of famed startup incubator Y Combinator, is reportedly working on a new cryptocurrency that will be distributed to everyone on earth once you agree to scan your eyeballs (there’s always a catch right?)
If you’d like to have free money then you can have your eyeball scanned. It’s an interesting development as we slowly approach the collapse of civilization.
“Bloomberg says Altman’s forthcoming cryptocurrency and the company behind it, both dubbed Worldcoin, recently raised $25 million from investors. The company is purportedly backed by Andreessen Horowitz, LinkedIn founder Reid Hoffman, and Day One Ventures.”
Worldcoin is not just a protocol or software it’s a gadget.
Specifically, Bloomberg, says the gadget is a portable silver-colored spherical gizmo the size of a basketball that’s used to scan people’s irises.
“Supposedly the whole iris scanning thing is ‘essential’ as it would generate a ‘unique numerical code’ for each person, thereby discouraging scammers from signing up multiple times.
Worldcoin says the image is deleted afterward and the company purportedly plans to be ‘as transparent as possible’.”
So a really interesting development in the world of cryptocurrency with the Worldcoin and similar projects like it. Essentially it’s a goal to allow wealth and resources to be distributed more evenly. Of course, DeFi and cryptocurrencies allow there to be a technological vector, for energy and currency to move more freely. It is an interesting vision for cryptocurrency, but hopefully we don’t lose our vision signing up for this project.
Friends, family, fellow spherical octopods thanks so much for reading, and best of luck on your DeFi adventures.
Follow our other channels below for the latest news surrounding DeFi and everything crypto.