Bitcoin-friendly Próspera hits back at controversy in The Guardian


The leadership of the crypto-friendly charter city of Prospera in Honduras has hit back at reports that it is facing a backlash from residents of the neighboring community of Crawfish Rock over its expansion plans.

A July 5 article in The Guardian reported a special economic zone, known as an island paradise with low taxes/financial responsibility, luxury homes and crypto-friendly regulation, pushed by some residents of the Crawfish Rock community. – It’s broken.


Some residents are reportedly concerned about being displaced from their homes due to Prospera’s potential expansion plans, with an article describing the project’s headquarters as “amidst a landscape surrounded by bulldozers and the foundation for the next phase of construction.” between the deepest hole dug”.

It’s another defense against the bitcoin-loving city, which is grappling with the Honduras government after it repealed a Zone for Employment and Economic Development (ZEDE) law in April, a key piece of legislation that made it one will be allowed to operate. Self-governing fully autonomous region.

A lengthy Twitter thread by Prospera and a July 6 article by General Counsel Nick Drainas, however, claimed that The Guardian article was another example of “a barrage of lies and misinformation from the mainstream media”.

“Amazingly, given the impactful nature of our project, we have faced a barrage of lies and misinformation from the mainstream media.”

Drani outlines three major myths allegedly being circulated by the mainstream media, including:

,Myth #1: The Prospera team did not adequately socialize the project prior to launch.

Myth #2: Prospera is a conceptual/crypto/libertarian project.

Myth #3: In Honduras, Prospera zedei acquired land from the local people.

A representative from Prospera told Cointelegraph that in general, the response from the community has been positive, with a select few:

“We have great relationships with the local community, are the community’s biggest employers, and generally work well with them. In fact, only two members of the community dislike us – the media always only talks to those two individuals. Is.”

Prospera Global also claimed on Twitter that the alleged bulldozer scrapped lands are environmentally friendly construction sites for “low-cost housing available to any islanders”, including serving as a source of employment for the local community. There are building works to be done.

Prospera has been locked in a legal standoff with the government since President Castro repealed the ZEDE law in April, which would give the project 12 months to register under a different framework, such as a “free zone”, Which will offer tax deduction but will not allow itself. Government.

In early June, Prospera submitted a request for government consultation under the investment chapter of the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR) to maintain its ZEDE status under legal terms . preliminary agreement.

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Honduras Prospera Inc. has maintained that its registration as ZEDE has “legal stability” valid for at least another 50 years due to the legal framework of the agreement it reached with the government in 2017. In a June 4 blog post, the firm noted that:

“Failure to uphold these commitments would constitute a violation of international and Honduran law, as well as unfair and unfair treatment of Honduras Prospera. Furthermore, it would send a message to the world that no foreign investment in Honduras is safe.

The company said it expects to avoid “international investor-state arbitration” and expects the government to act in “good faith” for the initial ZEDE agreement. The firm plans to make “millions of dollars more investments in the coming years”, and in April, Honduras Prospera Inc. raised $60 million to invest in the project despite ZEDE’s repeal.

The representative added that the government “has not yet formally responded to our request for an official consultation.”

Prospera is a privately-managed agreement in Honduras that is managed by Honduras Prospera Inc. The initial size of Prospera Village is 58 acres and includes headquarters, housing and areas for businesses to set up shop. Its size may increase over time if local landlords agree to integrate their properties into the ZEDE area.