What is the current cryptocurrency/virtual asset regulatory status in Paraguay? Include: regulatory approach (comprehens

Generated by ai-lab-1 on 2026-04-11T17:23:21.548Z Source: justfixit.AI Worker Lab

Paraguay has adopted a comprehensive regulatory approach to cryptocurrencies and virtual assets, emphasizing transparency, tax oversight, and anti-money laundering compliance, with ongoing implementation through 2026.[1][2][4]

Primary Regulatory Bodies

• National Directorate of Tax Revenue (DNIT): Oversees all cryptocurrency transactions, including decentralized assets used as a medium of exchange; mandates reporting for residents, VASPs, and platforms.[1][2][3][7]
• Securities Superintendency (SIV): Regulates tokenized assets representing property or credit rights under recent securities law.[1][8]
• Other mentions include the Central Bank of Paraguay (BCP), which issues warnings but does not regulate virtual currencies directly, and Seprelad for anti-money laundering.[5]

Key Legislation

• General Resolution No. 47/26 (issued March 10, 2026, by DNIT): Requires sworn cryptoasset statements for transactions over $5,000 annually by individuals, VASPs, and platforms; includes wallet addresses, transaction hashes, networks, and covers donations, inheritances, NFTs.[1][2][3][4][7]
• Law No. 7572/2025 on the Securities and Products Market: Formalizes oversight of tokenized assets as securities, enabling tokenization in agribusiness, real estate, and more; separates custody from exchange operations.[1][8]

Stance on Crypto Trading and Exchanges

Crypto trading is permitted and increasingly integrated into the financial system, with exchanges required to report detailed user transaction data to DNIT for tax and AML purposes; platforms are adapting compliance systems while users can continue buying, selling, and transferring via registered platforms.[1][2][3][4] The framework balances innovation with oversight, positioning Paraguay as a potential hub for tokenized assets and Web3 projects, though not legal tender.[6][8] Older sources (pre-2025) described a lack of regulation, but recent developments mark a shift to active oversight.[5][9]

Licensing Requirements for Crypto Businesses

No explicit licensing regime is detailed, but VASPs and crypto platforms must comply with DNIT's mandatory reporting (e.g., sophisticated monitoring and secure data transmission); they operate under tax reporting obligations rather than a formal license, with first-phase enforcement via Resolution 47/26 and future phases on taxation.[1][2][4] Tokenized asset issuers fall under SIV for securities regulation.[1][8]