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Columbia Opens Doors For Crypto Startups By Offering Lucrative Tax Benefits

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Sat, 1/09/2018 - 10:46
Columbia Opens Doors For Crypto Startups By Offering Lucrative Tax Benefits
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As part of the ongoing digital transformation in Columbia, President Ivan Duque offered tax hikes for crypto businesses. The country’s leader also wants to focus on curbing corruption with the help of Blockchain.

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Tax hikes for crypto startups

Columbia appears at the front of the cryptocurrency revolution in Latin America as President Ivan Duque comes up with an initiative to offer tax hikes for crypto-oriented startups. If this proposal gets approved, all enterprises that are related to cryptocurrencies and Blockchain will be exempt from paying an income tax for five years. Duque is certain that it would increase the country’s investment attraction and subsequently create new jobs.

Cryptocurrencies still remain in a legal grey zone in Columbia, but Duque is now striving to catch up with the hottest financial trend by working on crypto-friendly policies that will propel the growth of digital assets. In 2017, Columbia saw the highest growth of Bitcoin in the world.    

Battling corruption with Blockchain

Columbia is being plagued by rampant corruption. This week, millions of Colombians went to the polls to take part in an anti-corruption referendum, but they narrowly failed to gain the required amount of votes for passing new initiatives that would deliver a major blow to the country’s corrupted officials.

However, President Ivan Duque claims that Blockchain, along with AI, Big Data and other innovative technologies, could ensure openness and in the highest echelons of power. According to a local media outlet El Tiempo, Duque believes that the implementation of DLTs would also strengthen the country’s health and justice systems.

Back in June, Columbia already discussed the possibility of utilizing Blockchain to increase the efficiency of government management.

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