r/cryptocurrency Mar 13, 07:19 AM
Paraguay wants to see almost everything residents do with their bitcoin. L Country Paraguay’s tax authority has issued Resolution No. 47, requiring annual disclosure of nearly all crypto activity.
The measure does not impose a new tax, but it significantly broadens reporting obligations for both users and platforms.
Any Paraguayan resident or entity with more than $5,000 in annual crypto activity must file a report.
And the scope is sweeping.
Reportable activity includes buying, selling, swapping between cryptocurrencies, mining, staking, yield farming rewards, airdrops, lending income, sending or receiving funds, crypto payments, and even transfers between personal wallets.
For each transaction, filers must provide the date and time, wallet addresses or counterparty details, the crypto asset and blockchain involved, the exact amount, its USD value, transaction fees, and the transaction hash.
Critics argue the rule gives authorities near-complete visibility into on-chain activity, raising concerns about privacy and data security, especially in a country with a history of institutional data leaks.
Observers also warn the policy could damage Paraguay’s image as a crypto-friendly destination and slow adoption across the region.
submitted by /u/Cratos007
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