Jan Kotas

Paraguay’s tax authority DNIT just issued Resolution Nº47 (March 10, 2026) introducing a new requirement to report cryptoasset transactions. The stated objective is to help the government identify and track economic activity related to crypto. (In simple terms - surveillance). 👎 According to the resolution, platforms, intermediaries, and service providers that deal with cryptoassets will now be required to submit transaction data to DNIT (local tax office) This includes information about users, transactions, operations involving cryptoassets and more. The regulation broadly defines “cryptoassets”, including cryptocurrencies, stablecoins, tokens, NFTs and similar digital assets. Failure to report can lead to sanctions under the Paraguayan tax regime. At the same time, DNIT has reportedly begun working with Chainalysis, a blockchain surveillance company used by governments to track crypto transactions. This signals the start of large-scale automated blockchain monitoring in Paraguay. This is a very concerning move for the local ecosystem. Instead of encouraging innovation and adoption, Paraguay is building a financial surveillance framework around crypto. 🤦‍♂️ And not only that - mass collection of sensitive transaction data creates serious privacy and security risks. Governments (and the Paraguay one in particular) have historically struggled to protect personal data, which too often ends up leaked online. Just yesterday, the Instituto de Previsión Social (https://ips.gov.py), a Paraguayan government public social institution, has reportedly fallen victim to the Kairos ransomware group which stole large dataset of its clients...‼️ Paraguay has a real opportunity to become a global hub for crypto innovation and a leader in this emerging industry. However, policies like this risk achieving the opposite. They discourage builders, slow adoption, undermine financial privacy, and even threaten physical security of its own residents. ⚠️

I’ve asked Luma many times to add Bitcoin payments, but they said it’s not a priority. Meanwhile, they’re integrating shitcoins... 🤦‍♂️ Now @Satlantis: The Social Events App is just weeks away from launching it - one more reason to switch. 📝 a1b554d8…

Enjoyed this conversation with @Stephan Livera on his podcast about Paraguay’s Bitcoin landscape. We explored the @Bitcoin Paraguay community, @Hacking Lives, paraguay residency, tax benefits, and the booming expat scene. https://hackinglives.com/en/blog/c9pkl4v8busigmkgslwrf95b…