Honduras Imposes Crypto Trading Ban Amid Fraud and Money Laundering Concerns

The National Banking and Securities Commission of Honduras has issued a resolution banning the country's financial institutions from engaging in transactions involving cryptocurrencies and similar virtual assets. This measure, effective immediately, is in response to concerns over potential fraud, money laundering, and the lack of regulatory control over these platforms, many of which operate in multiple jurisdictions. Although Honduras does not currently regulate crypto assets, the central bank is exploring the possibility of creating its own digital currency, and Honduras Prospera, a model resort town, had previously adopted bitcoin as legal tender within its zone of autonomy.