Key takeaways
- Paraguay's National Directorate of Tax Revenue (DNIT) issues Resolution 47/26 requiring wallet and hash disclosure above $5,000
- Rules cover purchases, sales, mining, staking, lending, airdrops, and transfers between personal wallets
- The regulation aligns with Financial Action Task Force (FATF) recommendations as Paraguay integrates Bitcoin into its tax system
The Net Widens
Paraguay's National Directorate of Tax Revenue (DNIT) issued General Resolution No. 47/26 mandating detailed disclosure for digital asset transactions exceeding $5,000 annually. The requirements apply to both residents and platforms operating in the country, effective immediately.
The scope of required data is extensive: wallet addresses, blockchain network information, transaction hashes, dates and times, amounts with USD equivalents, fees paid, and counterparty information. The covered activities go far beyond simple trading. Purchases, sales, crypto-to-crypto exchanges, mining, staking, yield farming, airdrops, lending income, payments, and transfers between personal wallets all fall under the mandate.
'Proper identification and monitoring will strengthen oversight and compliance.' - DNIT
Regional Pattern and FATF Alignment
The resolution aligns with Financial Action Task Force (FATF) recommendations from 2019 on anti-money laundering and terrorism financing. Paraguay, as a member of the Financial Action Task Force of Latin America (GAFILAT), incorporated these guidelines. The move mirrors frameworks already in place in Brazil since 2023 and proposed Argentine legislation. Separately, Law No. 7572/2025 on the Securities and Commodities Market formalizes oversight of tokenized assets, and the government is considering using seized mining equipment for Bitcoin mining.
Data transmission to the DNIT will occur monthly through authorized secure digital channels in standardized formats.
Why It Matters
Every centralized platform operating under these rules becomes a surveillance endpoint and a data breach waiting to happen. Wallet addresses, counterparty details, transaction hashes: a comprehensive map of financial activity handed to a government database that is one leak away from becoming a target list for physical attacks, as the wave of wrench attacks in recent months has demonstrated. Solutions like silent payments and payjoin need to move from niche tools to standard practice. Peer-to-peer platforms are the exit from this surveillance architecture. Self-custody is not just sovereignty anymore, it is personal security.
