Brazilian Senate approved law to regulate cryptocurrencies

The country’s executive branch will be responsible for drafting rules for crypto assets and may create a new regulator

27.04.2022 - 13:30

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What’s new? Brazil’s Senate has passed a bill on the regulation of cryptocurrencies. It will form the basis for the creation of a regulatory framework for the country’s crypto industry. The document combines a bill from 2015 by Federal Deputy Aureo Ribeiro and a bill proposed in 2019 by Federal Senator Flávio José Arns. It must be approved by the Chamber of Deputies and then signed off by President Jair Bolsonaro, Cointelegraph Brasil reports.

Information on Cointelegraph Brasil

What issues were considered at the meeting? During the session, the Senate confirmed that the country’s executive branch will be responsible for drafting rules for crypto assets and could either create a new regulator or delegate its powers to the Securities and Exchange Commission (CVM) or the Central Bank of Brazil (BC).

During the session, several senators focused on penalties for crypto crimes, especially fraud. According to Senator Arns, penalties for this type of crime should be differentiated depending on the amount of fraud and money laundering committed.

What had happened before? In February, the bill on cryptocurrencies was unanimously approved by the Senate’s Economic Affairs Committee of Brazil. The document contains guidelines for the provision of virtual asset services.

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