Crypto News

Brazil Officials And The Local Crypto Community Still Debate Possible Cryptocurrency Regulations

In a new meeting demanded by the Chamber of Deputies, a group of Brazilian parliamentarians debated on Thursday, August 9th, on what guidelines should be taken into account to formulate possible blockchain and cryptocurrency regulators. The discussion was held publicly in conjunction with the Getulio Vargas Foundation’s Applied Information Technology Center, in Sao Paulo.

Some of the participants bet on maintaining the freedom offered by the blockchain technology

While the issue of cryptocurrency was not addressed in depth, the lack of professionals with knowledge of protocols such as in the Bitcoin (BTC) blockchain was debated. Some participants argued that a blockchain alone is not a magic solution.

It is important to mention that the Brazilian crypto community is one of the largest in South America, with lots of active members on social networks and meetings with local entrepreneurs, and now also with parliamentarians.

The meeting also served to review the Initial Coin Offerings (ICOs) sector

The discussion in this direction was conducted by Felippe Barretto, an analyst with the Brazilian Securities and Exchange Commission. The executive stressed that the ICOs do not have any regulation and that their objective is to seek financing from “the retail trade.”

Some Brazilian officials demand for cryptocurrency regulations

That is not the first time when this type of meeting between officials and various members of the crypto community has taken place in Brazil.

Last June, the Commission on Science, Technology, Communication and Information Technology of the Chamber of Deputies discussed different issues regarding a potential framework for future cryptocurrency regulations.

On that occasion, parliamentarians Thiago Peixoto, Odorico Monteiro, and Vitor Lippi stressed the need to create a regulatory framework. However, the representative of the Central Bank of Brazil, Mardilson Fernandes Queiroz, suggested that blockchain technology doesn’t need any regulation, but that cryptocurrencies do.

On the other hand, Joao Amoedo, a future presidential candidate of Brazil, said that cryptocurrencies can be a viable payment method, and are no threat to fiat money and central financial and banking systems.

Crypto News

Joao Amoedo, Presidential Candidate Of Brazil, Thinks Cryptocurrency Can Be A Viable Payment Method

Joao Amoedo, presidential candidate of Brazil, for the New Party, has expressed that a cryptocurrency like Bitcoin (BTC) can be a viable payment method in the country, as long as there is a regulation that supervises its use. The information was presented in an interview the candidate gave to a local media in recent days.

According to Amoedo, Bitcoin (BTC) should receive the same regulatory treatment as a fiat currency like the US Dollar, which could be a very controversial issue for the Bitcoin (BTC) community.

It must be made clear that the country [Brazil] has only one national currency, the currency which is legal tender, that is to say, the currency which the persons are obliged to accept as the real currency (…) Also, there are restrictions on the use of the US Dollar for payments and as an account currency, which should be the same for any other foreign currency, including cryptocurrency.

Joao Amoedo

At this moment, there is no regulatory framework regarding cryptocurrency use in Brazil

Currently, no legal framework regulates the use of cryptos in Brazil, despite the debates in Parliament on blockchain technology. The presidential elections to which Amoedo would be running are scheduled to be held in October, and his proposals could only materialize if he is elected.

Amoedo was very open to distributed ledger technology, believing that it could significantly reduce bureaucracy in public institutions by integrating it into real estate registration, document authentication, and electronic signature recognition.

Joao Amoedo also praised the advances in digital identity made thanks to blockchain technology, as well as its application in the supply chain, data transparency, and voting systems.

Since 2015, there has been a conflict between banks and cryptocurrency exchange operators in Brazil, which has led to the closure of some bank accounts belonging to a few exchange platforms and the subsequent reactivation of some of these blocked accounts.

Regarding this conflict, the Brazilian presidential candidate claimed not to have a specific position. In fact, Amoedo believes that the more competition there is in the cryptocurrencies market, the better it is.

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