Partido Popular, the opposition leading party in Spain, presented a new bill that aims to enable crypto payments for mortgages.
Spanish lawmakers have compiled a new draft titled “Digital Transformation Law”. If the bill passes the parliament, virtual currencies and blockchain technology will finally be legitimized in the country.
The bill proposes the creation of a national digital asset council that will explore the cryptocurrency and blockchain industry and how they can affect the country. According to analysts, the paper presents very innovative concepts.
The National Crypto Asset Council would bring together members of the central bank of Spain, the Directorate General of the Treasury, and the National Securities Market Commission. Their duty would be to advise the public.
The new law would allow property owners to pay their mortgages using digital currencies. Meanwhile, the real estate sector will be able to utilize its crypto assets to invest in mortgages pools.
The 32-page paper also mentioned banks. These financial institutions will be authorized to make use of blockchain technology to manage mortgages and insurance. Smart contracts will help in these processes.
The draft bill also proposed to establish tax breaks and other benefits for the firms that work in the cryptocurrency or blockchain industry. Local tech startups should have a 90% cut on the cost of the national patent and registration fees.
Back in July, Spain imposed new tax regulations on virtual currencies. Their sale and possession began to be taxed by the government. Crypto exchanged for another currency must be declared so taxes can be properly calculated.
In June, the Spanish Socialist Party made a proposal for the launching of a central bank digital currency. The non-law proposition came as a response to the decreasing utilization of physical money, which will cause anonymous and unsafe currencies.
The members of the parliament stated in their paper that money should be controlled in a democratic way as a public good. A central bank digital currency would also increase the liquidity, the party added.