The initiative targets 650 million Latin Americans with locally-developed blockchain and AI solutions for regional problems.
Guillermo Malo de Molina, Chief Operating Officer of Innovation Smart District (ISD), stated during Blockchain Jungle 2025 in Costa Rica that technological innovation in the region must be developed locally. The executive presented the ISD project, a 13-hectare district currently under construction within Panama’s Green Valley complex.
This initiative aims to establish a permanent physical center where companies, startups, and investment funds can converge. The project’s vision positions Panama as the core technological development hub for all of Latin America.
Malo de Molina detailed the factors making Panama the ideal location for this hub. The country’s dollarized economy provides monetary stability, a fundamental element for investors. The nation maintains political continuity demonstrated through peaceful government transitions every 5 years. Its air and digital connectivity infrastructure represents another crucial advantage, serving as the connection point for major internet cables between North and South America.
The corporate presence strengthens the ecosystem, with 180 multinational companies like Nestlé and Procter & Gamble establishing their regional headquarters in the country. This combination of factors leads Malo de Molina to describe Panama as the “Singapore of Latin America.”
The ISD project is developing on land with capacity for 24 modern buildings, with designs prioritizing technology and sustainability. The first tower, named Marie Curie, has its completion scheduled for April 2026. Malo de Molina revealed that 75 companies and startups have already reserved space in this initial phase.
ISD’s funding and governance incorporate blockchain technology through a tokenization model. The project has issued 1 billion tokens backed by the district’s physical assets, valued at $115 million, plus $56 million in investment. These tokens operate on Ethereum and Polygon networks.
Their acquisition is currently private and constitutes a requirement for startups and venture capital funds to join the ecosystem. In return, ISD provides participants with mentorship, investor connections, and visibility opportunities, preparing them to expand into Latin American markets.
Malo de Molina emphasized the imperative need for solutions designed specifically for the particularities of Latin American markets and their 650 million inhabitants. He argued that large corporations often face internal innovation constraints, while European or North American startups don’t always understand the region’s socioeconomic reality.
ISD was created to act as a bridge between all actors in the entrepreneurial ecosystem. The executive’s conclusion was clear: the path to Latin America’s technological growth must be built organically within the region itself.
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