Brazil passes crypto bill

Cryptocurrencies are on their way to being recognized as securities in Brazil should a bill be ratified by the executive branch in the country.

The Brazilian Chamber of Deputies passed a new bill on Tuesday, which focuses on the further regulation of the crypto industry.

The bill has been cleared in both chambers of the National Congress, Brazil’s parliament, after having passed a successful vote in Senate in April. In order to proceed to law, it will need to be approved by the executive branch as well.

The bill is backed by Aureo Ribeiro, a deputy, who wants to legislate for a new form of crime involving fraud with virtual assets, with a penalty of between two and six years, along with a fine, for anyone who has been convicted of such crimes.

It also seeks to establish a virtual service provider license which will be requested by companies in order to operate a number of cryptocurrency businesses, starting with the main ones, such as exchanges.

The bill also proposes that crypto assets should be considered securities and therefore brought under the control of the Brazilian Securities and Exchange Commission.

If the bill succeeds, this will be the first time that a major jurisdiction has officially recognized cryptocurrencies as securities.

In the US, the Securities and Exchange Commission has been loath to tie itself up to any definitions, giving cryptocurrency companies much headache. However, Brazil may be willing to proceed and experiment with the term.

Meanwhile, the country has remained of interest to international cryptocurrency businesses.

Bitget, a cryptocurrency exchange, launched operations in the country earlier this month.

Brazilian companies as a whole have also been keener to increase their crypto holdings as a way to diversify their portfolios and safeguard against economic shocks.

Looking for your next crypto casino? Check out: Bitcasino or FortuneJack.

Written by Alex


Alex is a well-rounded crypto writer who focuses on general market and legal developments. His main interest lies in how crypto gaming can become a more permanent part of the gaming landscape and how blockchain holds benefits to players they are not even aware of.

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