This week, Brazil’s Chamber of Deputies could approve a cryptocurrency law introduced earlier this year. According to the federal government’s leader in the chamber, Ricardo Barros, the bill is set to be discussed, but there are no reports of a possible vote yet, as the chamber will also discuss other time-sensitive bills.
Cryptocurrency law on the agenda to be discussed this week
Brazil moves closer to regulating cryptocurrency assets and Virtual Asset Service Providers (VASPs). Cryptocurrency bill numbered 4,401/2021 is scheduled to be addressed this week along with other time-sensitive bills. The report was prepared by the federal government’s leader in the Deputy Chamber of Congress, Ricardo Barros, who said the bill could go to a vote this week.
However, Brazil is in primary mode, with the presidential election scheduled to take place on October 2nd. Therefore, Congress may not discuss sensitive issues so as not to sway the electorate to one side or the other. However, if the cryptocurrency law is finally voted and approved, it would need to be sent to President Jair Bolsonaro for final approval. The deputy chamber will also discuss other important legislation this week, including a remote work bill.
Background to cryptocurrency regulation in Brazil
According to local media, the cryptocurrency bill could come up for consideration by the deputy chamber this weekend. This project has had a somewhat complicated history in Brazilian institutions. The current bill is the result of combining two different projects as part of the work of its proponents who wanted to pass cryptocentric legislation this year.
Approved by the Brazilian Senate in April, the project aims to regulate cryptocurrency exchanges by creating a single regulator to deal with the issue. In the same way, the project legalizes cryptocurrency mining and establishes tax exemption rules for mining institutions that present green projects using 100% renewable energy to set up mining operations.
In previous interviews, the lawmakers behind this cryptocurrency bill have stated that one of the biggest motivations behind the law is to punish cryptocurrency fraud in the country. To this end, the project is also defining a new type of crypto-related crime and setting harsh penalties for individuals and companies involved in this type of crime.
What are your thoughts on the potential approval of a cryptocurrency-centric bill in Brazil? Tell us in the comment section below.
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