The president of Panama has vetoed laws regulating Bitcoin, citing the “need to adapt to the norms governing our financial system.” The bill will return to the country’s National Assembly for debate.
Earlier in late April, the Panama legislature approved the bill regulating the use of cryptocurrencies. Through the bill, digital assets such as Bitcoin, Ethereum, Ripple, Litecoin and Stellar will become valid means of payment for “any lawful civil or commercial operation,” including paying taxes, fees and duties to governments.
The bill also formally recognizes DAOs (Decentralized Autonomous Organizations) as legal entities and sets a framework for the country to issue tokenized securities and commodities such as gold and silver through security token offerings (STOs).