News View Non-AMP

El Salvador and Paraguay Team Up to Strengthen Crypto Regulations

Published by
Nidhi Kolhapur

In a groundbreaking move for the crypto world, El Salvador and Paraguay have joined forces to tackle cryptocurrency regulations. Last Friday, the two nations signed an exciting agreement aimed at improving cooperation on crypto issues. The agreement will help both countries detect and control illegal crypto activities in Paraguay and improve efforts to fight money laundering.

A Partnership to Fight Crypto Crimes

The agreement was formalized through a Memorandum of Understanding (MOU) between Paraguay’s Secretariat for the Prevention of Money Laundering (SEPRELAD) and El Salvador’s National Digital Assets Commission (CNAD). This partnership aims to improve the regulation and supervision of digital assets.

“The document agrees to promote and facilitate mutual cooperation and the exchange of information between both institutions in the areas of control, supervision and regulation of digital asset service providers,” the document stated. 

El Salvador’s Growing Influence in Crypto Regulation

CNAD President Juan Carlos Reyes highlighted that El Salvador is leading the way in digital asset regulations. He said international partnerships like this not only encourage innovation but also help maintain financial transparency and security.

El Salvador’s CNAD is known for its strong regulatory framework. It was specifically created to oversee digital assets, and its technology-driven approach has been praised by crypto companies operating under the country’s Digital Asset Service Provider (DASP) license.

CNAD is the top authority for digital assets in El Salvador, meaning any company operating without a license is violating the law. However, it’s unclear if Paraguay will introduce a similar licensing system under this agreement.

El Salvador Expands Its Crypto Partnerships

This is not the first time El Salvador has teamed up with another country on crypto regulations. In December, it signed a similar agreement with Argentina’s Comisión Nacional de Valores (CNV), reinforcing its commitment to global cooperation in the crypto space.

Snubbing the IMF?

Even though the International Monetary Fund (IMF) has set limits on Bitcoin purchases under a $3.5 billion deal, El Salvador continues to increase its holdings. The country now owns 6,111.18 BTC—worth around $504 million—after buying 40 more BTC last month. While El Salvador has until July 2025 to comply with the IMF’s rules, it appears to be speeding up its Bitcoin purchases before the deadline.

Reyes shared CNAD’s two main goals for international cooperation:

  1. Helping other countries build strong and well-regulated crypto industries.
  2. Expanding the global reach of El Salvador’s regulated crypto companies.

With this latest agreement, El Salvador is strengthening its position as a leader in crypto regulation and building alliances that could shape the future of digital assets worldwide.

FAQs

How much does El Salvador have in Bitcoin?

As of March 11, 2025, El Salvador holds 6,111.18 BTC, valued at $504 million and continues buying despite IMF restrictions.

Is El Salvador still buying Bitcoin?

Yes, El Salvador recently bought 40 BTC and continues accumulating Bitcoin despite IMF-imposed purchase limits.

Which country owns the most Bitcoin?

The U.S. government reportedly owns the most Bitcoin, mainly from seized assets, with holdings exceeding 200,000 BTC.

Nidhi Kolhapur

Nidhi is a Certified Digital Marketing Executive and Passionate crypto Journalist covering the world of alternative currencies. She shares the latest and trending news on Cryptocurrency and Blockchain.

Recent Posts

Crypto Trading Fraud Soars in India and Beyond: MEXC Rings Alarm Bells

A recent report from the crypto exchange MEXC has revealed a worrying trend in fraudulent…

May 31, 2025

Coinpedia Digest: This Week’s Crypto News Highlights | 31 May, 2025

Hello again! If you thought May was going to close out quietly, think again. This…

May 31, 2025

Tron (TRX) Shows Steady Growth This Month, Yet Smart Investors Are Focused on Ruvi AI’s (RUVI) Upcoming $1 Valuation Listing

The cryptocurrency market is as dynamic as it gets, with new projects constantly vying for…

May 31, 2025

Ethereum’s Smart Future Starts Here , Could Wall Street Ponke Deliver the 100x Edge?

Ethereum is becoming more popular, but popularity alone is not enough. ETH is holding firm…

May 31, 2025

Ethereum Can Only Go Higher If Its Tools Keep Up , Pepeto Is One Of Those tools

Ethereum has always led the way for smart contracts and decentralized apps. But with more…

May 31, 2025

Top 3 Crypto Gems Under $0.50 Set to Soar in the Next Bull Run

As crypto investors prepare for the next major breakout, low-cost opportunities are drawing serious attention.…

May 31, 2025