The authorities want cryptocurrencies to be used in a legal way, with licensed and controlled providers.
The Cuban government is ready to officially recognize Bitcoin and other cryptocurrencies, as the island nation seeks to regulate assets for use in the payments industry, according to a report published by Bloomberg this morning.
Citing the Official Gazette, the report states that the country’s government and the Central Bank seek to work together to achieve this goal.
The bank is expected to formulate the official framework within which cryptocurrencies will be used, including licensing cryptocurrency providers who seek to offer finance-related services in the country.
Cuba’s economy is one of many in the Caribbean region to suffer from major U.S. sanctions, and the country’s population is increasingly turning to Bitcoin and other cryptocurrencies to escape the effects of the restrictions.
While cryptocurrencies are not as popular as in Venezuela or other Latin American countries, their use is becoming more widespread among the younger generation. The country’s authorities are also encouraged by the growing recognition of the cryptocurrency throughout the region, especially since El Salvador became the first country in the world to anchor Bitcoin in the law as a legal tender.
Bloomberg’s report cites the potential of cryptocurrencies to offer an anonymous, cheaper and faster way to send money across borders as one of the reasons many Cubans are turning to BTC and altcoins.
But even as Cuban authorities seek to recognize cryptocurrencies, they aim to closely monitor the sector. In accordance with the resolution of the government, the authorities are moving towards an official authorization of the use of cryptocurrencies for reasons of “socio-economic interest”.
In this case, the state will more closely control this sector, the goal being to prevent the use of cryptocurrencies in illicit activities such as money laundering and fraud.