Bank of Mexico announces stricter rules for cryptocurrency exchanges

All cryptocurrency exchanges and banks providing crypto services in Mexico will now be obliged to receive a permit from the Bank of Mexico (Banxico), according to a September 10 circular published in the official daily of the Mexican government, the Diario Oficial de la Federacion.

Called “General provisions on operations related to electronic payment funds”, the letter states that Banxico is responsible for issuing crypto-related permits. To get one, a company dealing in digital currencies must provide a detailed business plan complete with a description of their operations, the commissions they plan to charge, and the mechanism they will use to verify customer identity.

Banks are not allowed to make cryptocurrencies available to users if their accounts were created on the same day. Financial entities are also obliged to identify all customers involved in cryptocurrency trading. Furthermore, any assets acquired by crypto beneficiaries have to go through additional validation checks. Per Banxico, these measures will help prevent money laundering and illicit activities.

Institutions interested in receiving Banxico compliance must have submitted their applications by September 11, according to news outlet Criptonoticias. However, they may apply again in March 2019 when a new piece of fintech legislation is expected to be passed into law.

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