Venezuela Introduces Fees to be Charged on Crypto Remittances for Domestic Markets

Venezuela Introduces Fees to be Charged on Crypto Remittances for Domestic Markets

In the first of its kind, the Venezuelan government has introduced a special regulations system for the crypto remittances operations going within the country as per the country’s official media outlet, Gaceta Oficial.

According to the report, the National Superintendence of Crypto Assets and Related Activities (SUNACRIP) has been given the authority for the taxation on both inward and outward remittance of cryptocurrencies. The new legislation in terms of taxation would be applied to both individuals and legal entities. As per the new measures, the state has set up new monthly limits and commissions which are payable to SUNACRIP for all cryptocurrency remittances.

As per the decree, the maximum possible fee for a remittance has been set at 15 percent. The rules say that the minimum fee for a transaction involving crypto is around a quarter of a euro, i.e., around $0.28. The monthly limit for remittances in the crypto for national state-backed digital currency Petro is set at 10 Petro per month. As per the price structure set in CryptoCompare, one unit of Petro is equal to about $600. CryptoCompare is a central authority for clear and concise information, offering unrivaled breadth, scope, and depth of data, bridging the gap between the crypto asset and traditional financial markets.

For those cases where the monthly amount exceeds $600, the firm would require further approval on transactions from SUNACRIP. The overall limit which has been set for the regulator notes is 50 Petro or about $30,000.

So far it has not been explained as to how the government would look forward to controlling various crypto transactions in decentralized cryptocurrencies like that of Bitcoin (BTC), apart from the fact that a technological platform would be used to proceed with taxation.

As per a recent report from Cointelegraph, the weekly trading volumes for Bitcoin in Venezuela have reached a new all-time high amidst the ongoing crisis of presidential election andmassive hyperinflation. Earlier in February, volumes per week almost rose to almost $7 million on the p2p platform. Colombia and Venezuela hold almost 85 percent of trading volumes on the p2p exchange in Latin America. Venezuela built a new legal entity for cryptocurrencies and related technologies earlier this month. The entity would establish required licenses for mining entities and crypto exchanges.