The central bank of Mexico has published rules on crypto assets that put crypto exchanges in “a catch-22 type of situation,” the CEO of a local exchange explained to They “essentially stipulated that they wouldn’t authorize any cryptocurrency to be offered by regulated financial companies.”

Also read: SEC Chair Explains Key Upgrades Needed for Bitcoin ETF Approval

Regulating Mexico’s Crypto Industry

The Bank of Mexico (Banxico), the country’s central bank, published a circular in the Official Gazette of the Federation on Friday detailing crypto-related provisions for the regulation of financial technology institutions (ITFs).

Mexico's Central Bank Publishes 'Catch-22' Rules Impacting Cryptocurrency Exchanges

Tomas Alvarez, CEO of Mexican crypto exchange Volabit, explained to on Tuesday that “A year ago a law to regulate fintech companies was passed by the Mexican Congress. This law stipulates that services that hold custody of users’ fiat money or cryptocurrencies (most brokers and exchange business models require this) have to apply for a license issued by…

Click to continue reading on its source location…