Cryptocurrency Carnival
Brazil is currently one of the developing countries and is adopting cryptocurrencies very quickly. And despite the fact that there are more and more cryptocurrency users, the regulations still leave a lot to be desired. This is largely influenced by Brazilian banks, which are reluctant to cooperate with crypto companies. And the government is putting increasing emphasis on DeFi projects and the regulatory framework.
Meanwhile, the demand for cybersecurity is increasing. In a survey of the Gemini crypto platform, 41% of respondents admitted having Bitcoin or other cryptocurrencies. Therefore, cybercrimes related to the theft of cryptocurrencies are more and more frequent. Brazilian authorities are working to secure this industry. Police recently dismantled the group that operated the platform for investing in digital money. Very high refunds of overpaid tax appeared to be suspicious. The gang used the money paid from investors to buy investment gold, cars or watches.
The city of Rio de Janeiro took an interesting step. In October, a decree was issued, thanks to which taxpayers will be able to pay tribute on real estate in the form of cryptocurrencies from next year. Of course, traditional money will still be honored.
The condition, however, is that the company wishing to pay such a tax must be registered in the city and meet the requirements of the Brazilian Securities and Exchange Commission.
It is also planned to extend the possibility of this type of payment to other types of taxes. And the funds thus obtained will be transferred to the city in real currency at no additional cost.
This summer, Visa began the process of launching a card offering a cashback of 2% Bitcoin per transaction. The cooperation itself was established last year with the Argentinean cryptocurrency exchange Lemon Cash. In the long run, Visa wants to expand its operations to Latin America and the Caribbean. Cryptocurrency cards will also appear in Mexico, Peru and Colombia.
Young Brazilians who are unsatisfied with banking services are already buying cryptocurrencies in large quantities. Digital assets are also considered as a hedge against inflation and other problems facing Brazil. The law is also slowly changing, securing pledges, investments for the very assets of Brazilian citizens.
