S.Amdt. 4452

1. Adds SEC. 1264. REPORTS ON ADOPTION OF CRYPTOCURRENCY AS LEGAL TENDER IN EL SALVADOR at the end of subtitle F of title XII

   Adds a section

   Inserted: SEC. 1264. REPORTS ON ADOPTION OF CRYPTOCURRENCY AS LEGAL TENDER IN EL SALVADOR.

   Inserted: (a) In General.--Not later than 60 days after the date of the enactment of this Act, the Secretary of State, in coordination with the heads of other relevant Federal departments and agencies, shall submit to the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives a report on the adoption by the Government of El Salvador of a cryptocurrency as legal tender.

   Inserted: (b) Elements.--The report required by subsection (a) shall include the following:

   Inserted: (1) A description of the process followed by the Government of El Salvador to develop and enact the Bitcoin Law (Legislative Decree No. 57, Official Record No. 110, Volume 431, enacted June 9, 2021), which provides the cryptocurrency, Bitcoin, with legal tender status in El Salvador.

   Inserted: (2) An assessment of--

   Inserted: (A) the regulatory framework in El Salvador with respect to the adoption of a cryptocurrency as legal tender and the technical capacity of El Salvador to effectively mitigate the financial integrity and cyber security risks associated with virtual-asset transactions;

   Inserted: (B) whether the regulatory framework in El Salvador meets the requirements of the Financial Action Task Force with respect to virtual-asset transactions;

   Inserted: (C) whether the regulatory framework for the adoption of a cryptocurrency as legal tender in El Salvador meets the guidelines set forth by the Group of Seven in the document entitled "Public Policy Principles for Retail Central Bank Digital Currencies" issued on October 14, 2021;

   Inserted: (D) the impact of such adoption of a cryptocurrency on--

   Inserted: (i) the macroeconomic stability and public finances of El Salvador;

   Inserted: (ii) the rule of law, democratic governance, and respect for inalienable rights in El Salvador;

   Inserted: (iii) bilateral and international efforts to combat transnational illicit activities; and

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   Inserted: (iv) El Salvador's bilateral economic relationship with the United States;

   Inserted: (3) a description of internet infrastructure of El Salvador and an assessment of--

   Inserted: (A) the degree to which cryptocurrency is used in El Salvador; and

   Inserted: (B) access to transparent and affordable internet and digital infrastructure among the unbanked population of El Salvador.

   Inserted: (c) Plan to Mitigate Risks to United States Financial System.--Not later than 90 days after the submittal of the report required by subsection (a), the Secretary, in coordination with the heads of the relevant Federal departments and agencies, shall submit to the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives a plan to mitigate any potential risk to the United States financial system posed by the adoption of a cryptocurrency as legal tender in El Salvador.

   Inserted: (d) Subsequent Report.--Not later than 270 days after the submittal of the report required by subsection (a), the Secretary, in coordination with the heads of other relevant Federal departments and agencies, shall submit to the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives an updated version of such report, including a description of any significant development related to the risks to the United States financial system posed by the use of a cryptocurrency as legal tender in El Salvador.

   Original wording

   At the end of subtitle F of title XII, insert the following:

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As printed