El Salvador and Paraguay have signed a Memorandum of Understanding (MOU) on Friday, March 7, for strengthening their regulatory cooperation in the cryptocurrency industry. The memorandum was signed by Paraguay’s Secretariat for the Prevention of Money Laundering (SEPRELAD) and El Salvador’s National Digital Asset Council (CNAD), marking the second such collaboration in under three months.
El Salvador and Paraguay Team up for Cryptocurrency Regulation
This agreement follows a similar partnership between El Salvador and Argentina’s National Securities Commission (CNV) in December 2024.
The MOU outlines the commitment of both countries to work together in combating unauthorized cryptocurrency activities and improving anti-money laundering (AML) practices. According to the statement from SEPRELAD, the two nations will collaborate on the regulation and supervision of cryptocurrency service providers, sharing information and technical expertise to detect unlicensed operations across borders.
In addition to regulatory cooperation, the agreement focuses on strengthening measures to prevent money laundering, terrorism financing, and the proliferation of weapons of mass destruction. These efforts are aligned with the upcoming Fifth Round of mutual evaluations by the Financial Action Task Force of Latin America (GAFILAT).
The agreement also emphasizes the importance of technical cooperation, with both parties agreeing to share knowledge on a range of issues related to cryptocurrency regulation, including blockchain intelligence tools, risk analysis, and the traceability of digital assets. This partnership will help both nations better monitor cryptocurrency service providers and ensure compliance with international standards.
SEPRELAD’s goal with this agreement is to advance crypto regulatory frameworks using the CNAD’s expertise and successful practices.
Also Read: Bitfinex Securities To Issue Blockstream Mining Note (BMN2) in El Salvador
Source: https://www.cryptonewsz.com/el-salvador-paraguay-on-crypto-regulation/