Mexico is one of many countries in Latam looking at the potential benefits that bitcoin could bring to its economy. Sen. Indira Kempis, a senator from Mexico, introduced a bill to amend Mexico’s current monetary law in order to allow bitcoin to be legal tender. This bill seeks to imitate El Salvador’s action and make bitcoin legal tender in Mexico. It also mentions that it might improve financial literacy among many people.
The document focuses its proposal on Mexico’s low level of financial inclusion and education. The proposal states that 56% of Mexico’s population does not have access to a bank account. This means that more than 67,000,000 people do not have access to basic financial instruments.
The same goes for 68% of Mexican citizens who don’t have financial education. This ostensibly makes it impossible for most Mexicans to make educated decisions about savings, mortgages and how to handle credit.
Central Bank Digital Currency vs Bitcoin
The bill that Senator Kempis proposed is not compatible with the actions taken by the Central Bank of Mexico and the government. The institution stated in January that it was creating a digital peso (its own central bank digital currency) and that it would be available for circulation by 2024 to aid Mexicans with their financial inclusion issues.
Arturo Herrera, Mexico’s finance minister, stated that cryptocurrencies were not allowed in Mexico’s financial system. He also noted that his prohibition would not change in the near future. This was done after Ricardo Salinas Pliego (one of the most wealthy men in Mexico), reported that he was trying to make Banco Azteca accept bitcoins in the country.