KOROR (Island Times/Pacnews) — President Surangel Whipps Jr. has asked the Palau National Congress to consider the introduction of a digital residency bill that would create digital residency and appeal “to individuals and businesses that use cryptocurrency to transact.”
In his letter to national lawmakers, he said the digital residency bill “is a way for businesses to use Palau’s physical location to transact business digitally.”
Under the bill, Palau will offer a government-issued digital residency to non-resident citizens, but it does not give residency physically to foreigners, Whipps added.
He said the bill will seek potential businesses and individuals that use cryptocurrency. “Palau does not currently have the capacity to start a technologically complex platform for digital residency, but the…bill sets out a mechanism for swift action through a public-private partnership,” the president added.
He said the bill will also ensure that Palau continues to comply with anti-money laundering protocols and weed out “unscrupulous users.”
The bill will enable Palau to diversify its economy and partner with a proven private entity to manage the country’s digital platforms, he added.
The president urged lawmakers to act swiftly on the bill as other nations are also offering the same legislation.
The bill stated that the proposed system is similar to Estonia’s. Estonia is the first country to offer e-residency which has been described as an “innovative initiative.”