Paraguay’s largest entertainment company, Grupo Cinco will start accepting cryptocurrencies including in July. The company plans to accept bitcoin, ethereum, shiba inu and chiliz alongside the first cryptocurrency as forms of payment at its 24 outlets, which include nightclubs, restaurants and pubs.
The announcement comes after Paraguayan congressman Carlos Rejala announced his plans to present a bill whose goal is to attract international bitcoin mining companies and other crypto businesses to Paraguay. Grupo Cinco’s announcement will boost the chances that the bill will pass Congress.
When accepting cryptocurrencies, GrupoCinco will provide vendors and customers with traditional invoices and receipts. GrupoCinco implemented the cryptocurrency payments with the help of entrepreneur Juanjo Benitez Rickmann, CEO of Bitcoin.com.py, a local mining company.
Payments will be processed through the Lightning Network and merchants will have the option of keeping those cryptocurrencies or exchanging them for fiat.
To fit into the framework of Paraguay’s current legislation, GrupoCinco will treat cryptocurrencies as digital assets because Paraguay doesn’t have legislation for crypto assets.
Grupo Cinco’s adoption could encourage young people in Paraguay to start using crypto because 80% of the company’s customers are between ages of 18 and 25, Sosa said, adding that 60% of the country’s population is under 30 years old.