The Central Bank of Cuba (BCC) has announced that it will grant licenses to both Cuban and international virtual asset service providers, including organizations, individuals, and legal entities. This resolution, issued in Spanish, has also been published in Cuba’s official gazette.
Licenses granted under the resolution will be valid for one year and may be extended for a second year.
According to the resolution, licensed providers will be permitted to operate only with virtual assets expressly authorized by the BCC.
“Virtual assets do not include digital representations of fiat currency, securities, and other financial instruments commonly used in traditional banking and financial systems, which are governed by other laws and regulations of the Central Bank of Cuba.”
On Thursday, the BCC reiterated that the earlier decision authorizes the bank to issue licenses to providers for the transfer of assets related to exchange, collection, financial, or payment activities both within the country and beyond its borders.
While government entities will use virtual assets for transactions only when the BCC permits it, the current resolution does not address how the Cuban government will tax transactions involving virtual assets.
The government did state that the BCC will either grant or deny a requested license within ninety business days, following consultations with the Crypto Assets Licensing Group.
Additionally, licensed providers are required to maintain accounting records of their operations in accordance with the Ministry of Finance and the accounting standards approved under Cuban financial reporting rules.