Cryptocurrencies Legislation in Panamá

There are no formal blockchain or cryptocurrency rules in Panamá. However, the Panamanian National Assembly is considering a bill regulating cryptocurrency and transaction forms. The draft mainly governs Cryptocurrency Exchange Houses and requires a license from the Ministry of Commerce's General Directorate of Electronic Commerce.

The Superintendence of Banks regulates traditional exchange houses and requires them to get licenses. They are also subject to general compliance and anti-money laundering laws and regulations as Obligated Financial Subjects. However, exchange houses that specialize in cryptocurrencies are not regulated.

Traditional remittance houses are regulated and subject to licensing requirements by the Ministry of Commerce's Directorate of Financial Companies. They are also bound by general compliance and anti-money laundering (AML) laws and regulations. But, no regulations exist for cryptocurrency-specific transmission or remittance services.

There are no cryptocurrency-specific tax obligations, and the Directorate of General Income has not issued any cryptocurrency-related guidance, reporting, or declaration rules.

Currently, no judicial precedents recognize cryptocurrencies in any capacity, including as monetary instruments, security, currencies, or digital assets.

The Bank Superintendence stated in 2018 that cryptocurrencies are outside of its competence and that Panamanian financial institutions have not asked permission to engage with blockchain or cryptocurrency. Moreover, the same year, the Securities Market Superintendence issued an Opinion confirming that:

(1) cryptocurrencies are not securities.

(2) cryptocurrencies are not currencies, and thus the exchange of cryptocurrencies is not considered as FOREX activity;

(3) cryptocurrency-related activities do not require a license; and

(4) brokerage houses cannot advise or trade cryptocurrencies.

Also, there are exchanges or other cryptocurrency service providers operating in Panama. These companies operate under Specialized Financial Institutions (SFI - Instituciones Financieras Especializadas in Spanish) under the supervision of the Panamanian Ministry of Economy and Finance and other entities. Some of these companies are PandaExchange, BITPoint, LocalBitcoins, Paxfull, and LocalCryptos.

Bear in mind that Panamanian banks are not opening accounts to companies whose activity is related to cryptocurrencies:

• Intermediating in cryptocurrency business.
• Buying cryptocurrencies.
• Sending to a place that has to do with cryptocurrencies.

Therefore, your commercial license must establish a different business category if you want to open a bank account with a Panamanian Bank.

Also, if you require more detailed information our consultant fee is USD 200.