Bitcoin Becomes Official Unit of Account in Honduras’ Próspera Zone
The Próspera special economic zone in Honduras has officially adopted Bitcoin as its official unit of account for assessing the value of goods and services. The decision was announced by Jorge Colindres, the acting manager and tax commissioner at Próspera ZEDE. The move aims to provide individuals and businesses in the region with greater financial freedom. Colindres emphasizes the belief in the right to financial and monetary freedom, allowing people to conduct transactions, manage accounting, and report taxes in their currency of choice.
Bitcoin as a Unit of Account for Tax Purposes
Colindres explains that adopting Bitcoin as a unit of account allows it to be used for valuing goods and services within the Próspera zone. While the “Final BTC Tax Payment Procedure” cannot be implemented immediately due to technological constraints and regulatory issues, entities opting for Bitcoin will determine their tax liabilities in BTC for internal accounting purposes. However, they will report and pay tax liabilities to Próspera ZEDE in USD or the Honduras lempira until the challenges are resolved. Once addressed, tax liabilities will be reported and paid in BTC.
Bitcoin Adoption in Próspera
The decision by Próspera ZEDE comes amidst speculation that Honduras might approve Bitcoin as legal tender. However, the Central Bank of Honduras has previously refuted these rumors, stating that cryptocurrencies lack legal support for payment scenarios within the country. Próspera ZEDE is described as one of the most competitive special regimes in Latin America, attracting significant investment and creating jobs across Honduras.
Hot Take: Bitcoin Gains Ground as Official Currency in Honduran Economic Zone
The adoption of Bitcoin as the official unit of account in Próspera marks another significant step towards cryptocurrency integration in Central America. By allowing individuals and businesses to transact, account, and pay taxes in Bitcoin, Próspera ZEDE is embracing financial freedom and paving the way for a more crypto-friendly ecosystem. While Honduras itself has not yet recognized Bitcoin as legal tender, this move by Próspera showcases the potential benefits of digital currencies for economic growth and development. As more regions and countries explore crypto adoption, it will be interesting to see how this trend unfolds and its impact on global financial systems.
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