Cryptocurrency is legal but not recognized as legal tender in Paraguay. The Central Bank of Paraguay (BCP) has clarified that virtual currencies, since they are not issued by the BCP, do not have legal tender status or the power to discharge obligations (1). Transactions involving cryptocurrencies are neither controlled, supervised, nor regulated by the Central Bank of Paraguay, creating a regulatory gray zone where cryptocurrencies exist without comprehensive oversight (1).
In October 2025, Paraguay's Congress passed a landmark bill to regulate crypto-related activities in the country. The proposed legislation requires Paraguay-based businesses that engage in crypto-related activities to register with relevant authorities before starting operations (2). Under the bill, crypto-asset service providers and crypto miners will be required to register with the Ministry of Industry and Commerce (MIC), with registrations effective for a maximum term of five years (2).
"Under the proposed text, crypto-asset service providers and crypto miners will be required to register with the MIC. The registration would be based on rules established in line with the act and would be effective for a maximum term of five years."
The bill delegates the Ministry of Industry and Commerce to coordinate authorization, registration, supervision and oversight of crypto firms with other authorities. Additionally, the National Securities Commission (CNV) will regulate and supervise issuers, traders, custodians and intermediaries of crypto-assets that are similar to securities (2). The legislation recognizes crypto mining as an industrial and innovative activity, leveraging Paraguay's low electricity costs to create a framework for mining operations (2). The bill also includes virtual asset service providers in the scope of Paraguay's anti-money laundering laws, requiring registration with SEPRELAD, the country's financial intelligence unit (2).
Source:
https://altra.com.py/en/cryptocurrency-and-crypto-mining-an-analysis-of-paraguayan-regulation/
https://www.vixio.com/insights/pc-paraguay-path-adopt-crypto-law
Last updated: 19-10-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
