​Brazil will increase the penalties for financial crimes related to cryptocurrencies

What's new? Brazil’s special committee of the Chamber of Deputies has approved a bill that will increase the penalties for financial crimes using cryptocurrencies, according to an official statement on September 29.

Article on the portal Câmara dos Deputados

What is the law about? The latest regulatory amendments have become part of the bill 2303/15, which increases fines from one third of the laundered money to two thirds. The document also proposes to increase the minimum term of imprisonment from three to four years and the maximum term from 10 years to 16 years and eight months, in addition to a fine. The bill is the subject to further discussion at the plenary session of the Chamber.

What does the official say? The Federal Deputy Aureo Ribeiro emphasizes that the innovation will help the state to protect Brazilians from crypto-fraud schemes, noting that in Rio de Janeiro, more than 300,000 people were affected by financial pyramids with cryptocurrency.

“Because of the lack of regulation, people have nowhere to go. In Brazil, the market will develop and adjust. There will be no more speculators using technology to deceive millions of Brazilians”, Ribeiro said.

Ribeiro was optimistic about other aspects of the bill, which regulates broader cryptocurrency transactions such as trading, storage, fiat exchanges and payments. The deputy stated that Bitcoin will be accepted as payment in Brazil as soon as the bill come into force.