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• Portugal Central Bank issues license to two crypto exchanges for digital transactions
• Bank releases a statement to announce the licensing
• Crypto laws set earlier start to step into motion
After the adoption of Bitcoin as a legal tender in El Salvador, many countries are driving along the same path. Central Banks across the globe are trying to adopt cryptocurrency and also trying to set up regulations that monitor and control the trading of crypto. The Central Bank of Portugal has also stepped up and allowed the legal exchange of crypto transactions in two licensed exchanging platforms.
Portugal’s Central Bank allows platforms to trade crypto
An official statement announced by the Central Bank mentions the licensing of two crypto trading platforms in the country. These are the first ever two forums that will be allowed to carry out transactions and trade involving digital currency in the country. The statement names the two platforms to be Criptoloja and Mind The Coin. They are termed as virtual asset service providers by the Central Bank, Banco de Portugal. The new law that took effect in the beginning of the year has been set in motion after this move by the Bank.
This leads to vital adaptation to cryptocurrency by the Government and the public as well. These exchanges could just be the start for Portugal to set up a crypto hub. Virtual asset trading can now become easier and safer for the people of Portugal as the security increases with Government licensing. The rate of scams cannot possibly vanish but can diminish.
Central Bank issues license after nine months
Criptoloja, one of the exchanges that got the permit to start virtual asset tradings, had filed the request approximately 9 months before in the month of September 2020. The approval requires prior registration of such platforms with the Banco de Portugal which covers the operating details of the exchange. This licensing will facilitate exchange of services between virtual assets and fiat currencies or between one or more forums of virtual assets. It also includes transfer services of virtual assets and safeguarding the administration of such assets with an additional private security encrypted key.
The country had highlighted the risks involved with virtual assets before and hence, now tries to incorporate the system gradually in a controlled manner that gives the Government more charge and supervision of these digital assets. These operations only seem to be a small commencement for Portugal to enter the crypto ecosystem all in.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
