Latest news about Bitcoin and all cryptocurrencies. Your daily crypto news habit.
Special Economic Zone Grants Bitcoin Further Recognition, Opening New Avenues for Financial Autonomy
- Próspera, a special economic zone in Honduras, officially designates Bitcoin as a ‘Unit of Account’ for measuring market values.
- Jorge Colindres, the driving force behind the initiative, emphasizes the commitment to financial and monetary freedom.
- Despite implementation challenges, Próspera anticipates a seamless transition, offering businesses the prospect of reporting tax liabilities and making payments directly in Bitcoin.
Claim up to $30,030 in Bonus
100x Leverage
Start TradingPróspera, a special economic zone situated in Honduras, has officially recognized Bitcoin as a ‘Unit of Account.’ This groundbreaking move comes less than two years after the adoption of Bitcoin as legal tender within the region.
Bitcoin’s role in Próspera now extends beyond legal tender, serving as a measure for the market value of goods and services. The driving force behind this development is Jorge Colindres via a shared post on X, the acting manager, and tax commissioner, who spearheaded the initiative. The official recognition took effect on January 5.
In the words of Jorge Colindres, this recognition is fueled by a commitment to financial and monetary freedom. Colindres emphasizes the belief that individuals and businesses in Próspera should have the liberty to conduct transactions, manage their accounts, and report taxes in their currency of choice, aligning with a philosophy of economic autonomy.
Also Read: Number of Bitcoin ATMs Decreased Globally in 2023: Report
Implementation Challenges and Future Prospects
Despite the significant step forward, Próspera faces hurdles in implementing the “Final BTC Tax Payment Procedure.” Technical limitations within the eGovernance system and external regulatory issues contribute to the current status. Currently, tax liabilities are reported in USD or Honduras lempira but internally referenced in BTC.
Looking ahead, Colindres expresses optimism about overcoming these challenges. The resolution of technological and regulatory issues is anticipated, paving the way for entities to report tax liabilities and make payments directly in Bitcoin, streamlining financial transactions within Próspera.
Claim up to $30,030 in Bonus
100x Leverage
Start TradingProcess for Businesses and Overview of Próspera ZEDE
Entities desiring to embrace Bitcoin as a unit of account in Próspera must adhere to a straightforward process. They are required to file a notice with Próspera’s tax commission within 30 days of the relevant tax period. To facilitate this transition, Colindres recommends using approved cryptocurrency exchanges such as Coinbase or Kraken for filing.
Launched in May 2020 on the northern island of Roatan, Próspera ZEDE has solidified its position as a significant player. The region, which made BTC legal tender in April 2022, stands out as one of the most competitive special regimes in Latin America. According to Colindres, Próspera ZEDE has attracted over $100 million in its three-year tenure and has contributed to the creation of more than 3,000 jobs across the country.
Enhance Your Crypto Trading Skills With Our Legends’ Trading Masterclass
Empower your crypto trading skills with our Legends Masterclass. Sign up now and take advantage of our limited-time discount offer! Join the class today.
The post Honduras’s Special Economic Zone Officially Recognizes Bitcoin as “Unit of Account” appeared first on Bitcoinsensus.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.