The Assembleia da Republica announced today that the two crypto bills that were supposed to curb Bitcoin and other cryptocurrency activity were denied. The country on the Iberian Peninsula has been known as a crypto tax haven and a hub for Web3.0 nomads.
BREAKING: PORTUGAL REJECTS #CRYPTO TAX BILLRecent Crypto Legislation was Pushed by Minority— That Martini Guy ₿ (@MartiniGuyYT) May 26, 2022
The offer to tax cryptocurrencies came from the left wing parties like Livre and Bloco de Esquerda. Even though at the beginning of this month Minister of Finance Fernando Medina explicitly stated that the Portuguese government will eventually begin to tax crypto and the dream days of crypto and web 3.0 enthusiasts in the country might be over, the two suggested bills were voted in the voting session for the yearly budget.
Furthermore, the leading party in the government is the Socialist Party, which doesn’t show much initiative in providing crypto legislation or taxation. In addition, Portuguese economic newspaper ECO has provided the full-length video of the parliamentary session where the bills have been voted down.
Changes to Crypto Rules in Portugal Might still be Coming
The rejection of these two crypto bills might be great news for crypto enthusiasts residing in Lisbon, but not for long. Ultimately, key members of the government have a different opinion than the leading party and it looks like some alterations are soon to be made. Mendonca Mendes, the Secretary of State for Fiscal Issues, explained: ‘We are evaluating by comparing internationally what is the definition of crypto assets, which includes crypto currencies’.
Another strong ambassador for crypto regulation is Mr. Fernando Medina, the Finance Minister. Just less than two weeks ago, he said: ‘It is an area in which there is a lot more knowledge and a lot more progress, so that Portugal can learn from international experience’. Which side of the mountain is Portugal going to turn to? That’s likely to be revealed in the forthcoming months.
On The Flipside
- El Salvador set up a meeting with bankers and government officials from 44 countries to discuss Bitcoin
- Central African Republic recently adopted Bitcoin as legal tender and is in the midst of creating a duty-free crypto hub
- Cyprus, another well-known European crypto hub, has started discussing legal framework
