CHILE Trends and Developments Contributed by: Nicolás Yáñez Figueroa and Ornella Otárola Tiozzo, EDN Abogados
2026. The body of the law is mainly inspired by the European Union’s General Data Protection Regulation. Given the various efforts required for practical imple- mentation of the law, specialist circles, particularly those linked to the technological sphere, have paid close attention. The new Law No 21,719 on the Pro- tection of Personal Data establishes a comprehensive regulatory framework to guarantee the right to privacy, but above all makes a significant effort to adapt it to the challenges that digital environments bring. This framework incorporates an approach centred on the following: • protection of the fundamental rights of data sub- jects; • addressing diverse aspects related to the process- ing of personal data; • specific regulations for special categories; • administrative procedures; and • the creation of a supervisory and regulatory author- ity (mentioned above). Fintech In 2023, Chile developed specific regulation through Law No 21,521, for companies developing innovative technologies to deliver and improve financial services (fintech). The main pillars of this law are as follows: • it establishes a regulatory framework for certain technology-based financial services, such as crowdfunding or collective financing platforms, and alternative transaction systems; • it subjects those entities engaged in intermedia- tion and custody operations, provision of transac- tion platforms, and advisory services on financial instruments, including crypto-assets, derivatives and contracts for difference, to the supervision and regulation of the Financial Market Commission (CMF); • it creates an Open Finance System, commonly referred to as “Open Banking”, allowing financial service providers to exchange financial information, thereby overcoming the current information asym- metry faced by new entrants; • it permits the use of crypto-assets as means of payment whose value is determinable and backed
by money, provided they meet the requirements established by the Central Bank of Chile; and • it amends various laws governing traditional finan- cial institutions in order to achieve regulatory sym- metry in the provision of similar financial services, reducing entry barriers for fintech companies. The CMF issued new regulations between 2024 and 2025 governing the various activities classified under the Fintech Law, which will come into force in 2026. Criminal law In parallel, from a criminal law perspective, Chile also focused on establishing regulation in line with techno- logical advances, expanding the catalogue of criminal offences and setting significant penalties commen- surate with the relevance of this matter to the cur- rent scenario. From a criminal law standpoint, Chile until recently had very limited regulation regarding offences related to computer or technology-related crimes. This changed with the enactment in 2022 of Law No 21,459 on Cybercrime, which aligned Chilean legislation with the Council of Europe’s Convention on Cybercrime (Budapest Convention), and subse- quently with the entry into force of Law No 25,595 on Economic Crimes, enacted in August 2023 and fully effective as of September 2024. This law systematised economic crimes, while also introducing amendments to the criminal liability of entities, under which companies in Chile today may be significantly impacted, as they are susceptible to criminal liability and even face the penalty of dissolu- tion of their juridical person, prohibition against con- tracting with the government, or the application of sig- nificant fines. Penalties such as these are aside from the individual penalties for natural persons involved in such crimes: high-ranking company members, man- agement or directors who have failed in their diligence duties to the company by allowing such criminal behaviours, which the law considers an aggravating circumstance, could even face prison sentences. Chile currently has broad regulation and a wide spec- trum of offences in this area, including: • system interference; • data interference;
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