Spanish lawmakers support a new legal initiative to legitimize the cryptocurrency and blockchain industry with a new digital transformation bill.
The new bill was presented the Spanish political party People’s Party (PP). It aims to stimulate innovation across many industries through the regulation of new technologies such as blockchain, artificial intelligence, and cryptocurrencies such as Bitcoin (BTC).
As part of the bill, PP proposed to legalize the use of cryptocurrency and blockchain technology for mortgage and insurance purposes. Specifically, the proposal aims to allow property owners to pay for mortgages with cryptocurrency and to allow the real estate sector to use its own cryptocurrency to buy mortgages.
The bill also calls on Spanish banks to deploy blockchain technology to manage mortgages and insurance by automating related processes using smart contracts.
The bill proposes to establish major tax breaks and patent breaks for cryptocurrency and blockchain companies in Spain. The bill specifically proposes that local technology innovation startups have a 90% reduction in national patent cost and registration fees at the Spanish Patent and Trademark Office.
In addition, the new initiative also proposes the creation of a National Council on Crypto-Assets for the purpose of public consultation, which will be attended by representatives of the General Directorate of the Treasury, the National Commission for the Securities Market and the Bank of Spain.
The news comes shortly after the Spanish parliament passed a new law requiring residents to declare your crypto holdings as part of the country’s efforts to tackle tax evasion and fraud in early July. Law intends expand the scope of regulation of the Spanish cryptocurrency market by establishing new basic requirements for the storage and trading of cryptocurrencies.