Brazilian Presidential Candidate “Lula” Da Silva Signals Support for Central Bank of Brazil Involvement in Crypto Regulation – Regulation Bitcoin News

The presidential candidate who received the most votes in Brazil’s first round of elections, Luis Inacio Da Silva, better known as “Lula”, stated that the Central Bank of Brazil should be responsible for building a legal framework for cryptocurrencies. Lula also explained that the impact of cryptocurrencies should be measured to avoid negative impacts on the national economy

Lula supports central bank oversight of crypto

The candidate who received the most votes in the first round of voting in Brazil’s presidential election, Luis Inacio “Lula” Da Silva, has revealed his stance on crypto regulation in the country. Lula signaled his support for the Central Bank of Brazil, which he says should be responsible for building cryptocurrency regulations due to its autonomous nature.

The candidate explained that this sector has grown immensely recently, which has prompted regulators to address the issue. Lula explained that this legal framework should help prevent “illegal practices that we may engage in with crypto assets, such as money laundering and currency evasion, in addition to preventing fraudulent trading practices.”

The candidate also suggested monitoring the cryptocurrency market to avoid negative impacts on the national economy.


Sovereign intentions and current attempts at regulation

Lula has worked hard to break Brazil’s dependence on international dollar markets. Lula declared in July that if he wins the election, he will support issuing a common currency for Latam, called SUR (Spanish for South). However, he did not provide any further information on this subject. Brazil is currently in the pilot phase of its own central bank digital currency, the digital real.

Regardless of what the candidate says, a cryptocurrency bill is already in the hands of the Brazilian Congress Chamber of Deputies. However, it was not discussed as MEPs put the focus on general elections. While there is still time to debate it, if it is delayed for next year, the bill would need to gain the support of a new rapporteur, and the new MPs would need to study the projects in order to debate it again.

This new learning process would delay the passage of the current bill. In the same way, if Lula wins this month’s election, he could veto the law if it is passed, as has happened in other Latin American countries before.

What do you think of Lula’s stance on cryptocurrency regulation? Tell us in the comment section below.

Sergio Goschenko

Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late in the game and entered the cryptosphere when the price surge took place in December 2017. He has a computer engineer background, lives in Venezuela and is socially affected by the cryptocurrency boom. He offers a different take on crypto’s success and how it’s helping those who are unbanked and underserved.

photo credit: Shutterstock, Pixabay, Wiki Commons, Isaac Fontana, Shutterstock.com

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