New Cryptocurrency Bill Advances to Senate in Brazil – Regulation Bitcoin News

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A brand new cryptocurrency invoice was authorised by the Chamber of Deputies of the Brazilian Congress final week, and is now awaiting overview by the Senate for approval. The mission, if authorised, would introduce a central physique to regulate all cryptocurrency brokerage exercise — ostensibly the Central Bank of Brazil — and set up new penalties for crypto-related crimes.

Chamber of Deputies Passes New Crypto Bill in Brazil

The Chamber of Deputies of the Congress of Brazil has approved new proposed laws that seeks to carry readability to cryptocurrency regulation in the nation. The mission, recognized as Bill 2303/15 and proposed by Deputy Aureo Ribeiro, establishes definitions for exchanges and digital currencies. It additionally requires a central physique to oversee all cryptocurrency-based operations, which can be appointed by the chief department of the federal government. The invoice will now be handed to the Senate, which is able to in the end determine whether it is handed into regulation.

The regulation doesn’t point out cryptocurrencies by identify, and as an alternative makes use of the time period “digital currencies.” However, the mission does make clear that it doesn’t have an effect on the digital representations of the nationwide fiat forex (the true), different worldwide currencies, or rewards factors given by some firms in promoting campaigns. A digital forex is outlined as a illustration of worth that can be utilized electronically for funds or for funding functions.


Harsher Penalties and a Central Regulator

The textual content consists of particular penalties for cryptocurrency-related crime and establishes a brand new penalty for exchanges or events that illegally handle cryptocurrency portfolios for third events. This crime is classed as a kind of embezzlement and can be punishable by 4 to eight years in jail and fines.

While the invoice establishes a central regulator, it can not identify it explicitly for authorized causes. However, Expedito Netto, the rapporteur of the fee that carries the regulation, said that it’s seemingly this physique would be the nation’s central financial institution.

If authorised, Brazil would be part of a bunch of nations in Latam which have devoted guidelines for cryptocurrency belongings, that are categorized otherwise from different, comparable belongings. El Salvador is one in all these international locations, approving its so-called “Bitcoin Law” not too long ago, establishing Bitcoin as authorized tender in the nation.

Paraguay has additionally taken steps in this route, introducing a invoice to regulate cryptocurrencies in July. However, the laws seeks to set up controls on crypto transactions, and as an alternative of contemplating bitcoin a forex, views it as a commodity.

What do you consider the cryptocurrency invoice in Brazil? Tell us in the remark part under.

sergio@bitcoin.com'
Sergio Goschenko

Sergio is a cryptocurrency journalist based mostly in Venezuela. He describes himself as late to the sport, coming into the cryptosphere when the worth rise occurred throughout December 2017. Having a pc engineering background, dwelling in Venezuela, and being impacted by the cryptocurrency increase at a social stage, he presents a special viewpoint about crypto success and the way it helps the unbanked and underserved.

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