Panama has introduced legislation that would allow citizens to freely buy, sell, and accept Bitcoin BTC/USD nationwide, marking another significant step in the global adoption of cryptocurrencies.
What Happened: The bill follows Panama City Council’s recent move to accept Bitcoin, Ethereum ETH/USD, and stablecoins like USD Coin and Tether for taxes, fines, and fees, according to Bitcoin historian Pete Rizzo, who broke the news Monday on X.
This legislative push comes amid accelerating cryptocurrency adoption worldwide, fueled partially by U.S. President Donald Trump‘s pro-crypto policies implemented since taking office in January.
Panama City’s earlier cryptocurrency initiative, spearheaded by Councilman Mayer Mizrachi, implemented a practical workaround for accepting digital assets without requiring new legislation. “Legally, public institutions must receive funds in dollars, so we partnered with a bank who will receive the crypto and convert it on the spot to USD,” Mizrachi said.
Why It Matters: The Trump administration has championed cryptocurrency adoption by establishing a strategic Bitcoin reserve and appointing an AI and crypto czar. These actions have emboldened other nations to explore digital asset integration as Bitcoin recently tapped $107,000, just 2.51% shy of its all-time high.
Market sentiment remains strong despite global economic uncertainties. Galaxy Digital CEO Mike Novogratz recently warned that the U.S. economy is beginning to “behave more like an emerging market than a developed market,” citing macroeconomic instability, including surging interest rates and tariff shocks.
Meanwhile, cryptocurrency investment continues to accelerate. On-chain analytics firm Santiment reported $6.63 billion in net inflows across Bitcoin ETFs over the past five weeks, calling it “historically a bullish sign for future price movement.”
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
