• Looking to emulate El Salvador, Spain is considering legislation that would allow mortgage payments to be made in cryptocurrency

  • As of this year, cryptocurrency and blockchain are becoming more mainstream, and it is likely that almost any financial transaction will be able to be completed using crypto in the coming years. Of course, there are those who oppose the integration due to the lack of regulations and the fact that it could aid in the financing of illegal activities.

    Despite all of the recent adversity, the crypto wave is still growing. And, according to the Spanish newspaper 20 Minutos, Spain may soon allow people to pay their mortgages with cryptocurrency.

    According to the publication, Spanish lawmakers are reviewing a proposal that would address the aforementioned issues. The Digital Transformation Law, as it is known, would legitimize crypto and blockchain, while tax breaks are being considered for institutions interested in working under the artificial intelligence umbrella, which would include blockchain technology.

    The incumbent People’s Party in Spain is determined to bring the country’s banking infrastructure up to date in terms of technology and will promote the use of digital currencies, among other transformative technologies. In addition to allowing crypto payments, the proposal suggests that the country’s entire mortgage system be reformed.

    El Salvador has taken the lead.

    This follows El Salvador’s decision to accept bitcoin as legal tender. In this regard, the Central American country is very pro-crypto, and it appears that they have set the stage for other countries to “naturalize” digital assets.

    In Spain, the current proposal suggests that banks use blockchain to operate the mortgage system, while smart contracts are used for insurance.

    “Introduction to the mortgage system – it also proposes that banks use Blockchain technology to manage mortgages, insurance, and compensation – it proposes to extend it to insurance policies, with ‘smart contracts’ with conditions based on the procedures to be followed, the verification processes, and potential incidents.”

    El Salvador’s decision to make bitcoin legal tender was a huge step, and we have yet to see the full impact, though the country’s population is only 6.5 million, so it is unlikely to have a large impact on a global scale. Spain, on the other hand, is a different story.

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