Early adoption, oversight, and attractive regulations that provide legal certainty and administrative ease will be key to attracting investment from anywhere in the world in record time. Achieving the tokenization of real estate, works of art, machinery, inventory, etc., will establish the basis for significant economic growth. We hope that Mexico will be a pioneer in the implementation of the new global financial system and see reflected an exponential economic growth in a short time. Embrace modernity. However, the country has a new historical opportunity to achieve significant economic growth: the proper and early implementation of the new global financial system could lay the foundations for such growth. The new global financial system will undoubtedly be a major challenge for both financial institutions and the government. The transition to the international financial messaging standard ISO 20022 will lead us to have a common financial language globally. The implementation of distributed ledger accounting systems, instant payment networks based on utility currencies, smart contracts, and blockchain distributed ledger technology will bring with them: I) Greater efficiency in financial markets. II) Automated accounting reconciliation and traceability of transfers globally. III) Automation in accounting reconciliations (the archaic manual accounting reconciliations will become a thing of the past). IV) Interoperability with other payment mechanisms. V) Tokenization/digitalization of assets/goods. International bank transfers that could take between 1 and 5 business days due to the format of financial messages will become a thing of the past. With the new financial system, international bank transfers will take seconds to be completed and will work 24/7, 365 days a year, which will definitively change the way we understand commerce, with an immediate cash flow, internationalization of payments, and speed never seen before. The challenge for financial institutions and the government is enormous; legal and regulatory reforms will be necessary to facilitate entry into this new system. Financial institutions must cooperate with the government to promote new laws and regulations that facilitate adoption and, at the same time, prevent them from becoming an obstacle and/or attempting to regulate or supervise excessively. The opportunity lies in being one of the first countries to enact its laws and regulations, providing administrative and tax facilities that allow investment and cash flow in real time, capturing money from anywhere in the world. Let's imagine that any asset can be fragmented and digitized through asset tokenization that allows dividing an asset into digital portions (tokens) that represent a share of the value or rights of an asset, and such tokenization allows buying or selling a portion of that tokenized asset, to which any investor in real time anywhere in the world has access to buy or sell, and whose financial benefit can also be distributed in seconds anywhere in the world. This can be a reality in the new global financial system. Nearshoring remained a memory; Mexico failed to capitalize on that opportunity. Partner and member of the tax practice group of Baker McKenzie* Graco Sáenz.
