The financial authorities of Mexico on Monday asserted that digital currency assets are not legal tender in Mexico and are not considered as any currency under the prevailing law. The Mexico crypto warning says that any entity that works or operates with crypto will be subject to sanction.
This Bank of Mexico’s joint statement along with that of the finance ministry and regulators comes along after Mexican billionaire Ricardo Salinas Pliego on Sunday asserted that his bank business may start to use Bitcoin that would make it the first bank in Mexico to accept digital currency and will also set new cryptocurrency trends.
By the beginning of this month, El Salvador made a big leap in accepting Bitcoin as their legal tender which is said to be the first country in the world to do so. According to the statement regarding the Mexico crypto warning,
“The financial authorities reiterate their warnings … on the risks inherent in the use of so-called ‘virtual assets’ as a means of exchange, as a store of value or as another form of investment,”
It further added,
“The country’s financial institutions are not authorized to carry out and offer to the public operations with virtual assets, such as Bitcoin, Ether, XRP, and others in order to maintain a healthy distance between them and the financial system.”
According to the statement, Mexican financial institutions should avoid spreading the fear and risk to cryptocurrency operations. Along with that, it was also added that the use of stablecoins which is a form of cryptocurrency that is usually pegged to that of a traditional currency was not allowed under the law of Mexico.
At a news conference, the Mexican Finance Minister Arturo Herrera affirmed that the use of cryptocurrency is currently prohibited under the prevailing law of Mexico and this prohibition is not likely to alter in any of the near terms.
Cryptocurrencies like Bitcoin, Dogecoin tend to be fluctuating and speculative assets and while they are capable of being traded, still they do not serve the relevant purpose as money does. The statement said that,
“Since their acceptance as a means of payment is limited and they are not a good reserve or value reference,”
Is Bitcoin Safe?
It is nearly impossible to hack Bitcoin, but your wallet or the exchange account that you use can be hacked easily nowadays. So always use as much protection as possible and prefer using hardware wallets, as they are used offline so the risk of it being hacked decreases. With every Bitcoin price prediction the chance of hacking increases.
Current Price Of Some Famous Cryptocurrencies
The Mexico Crypto Warning may have convinced you that digital currencies incur huge risks. The fact is true to some extent but not completely. Digital currency provides some amazing values to your cryptos that can change your future. Let us have a look at the XRP price, Ethereum price, Safemoon price, Bitcoin price, etc.
- 1 Ether = $2109.40
- 1 XRP = $0.6548
- 1 SafeMoon = $0.000003
- 1 BTC = $34,657.40