there is more urgent – The House of Representatives of Brazil was to discuss the cryptocurrency bill, during the first weeks of August. Beyond the sometimes disproportionate media reactions and to the detriment of the impatient, in fact, the teasing around the adoption of this new crypto law is likely to last.
Real movement or simple agitation
Has the recent announcement that shook the cryptosphere, especially the Brazilian crypto industry, finally given birth to a mouse? The Brazilian Cryptocurrency Bill, identified by number 4.401/2021, had to be debated in the House of Representatives of Brazil, during the first week of August.
Although the leader of the federal government in the Chamber, Ricardo Barros, hinted that the project could be approved by parliament during this session, he nevertheless also made it clear that there was still no no information on the holding of a possible vote of the project.
At the time of writing this article, no official press release or any other media has informed of the adoption or rejection of this bill on cryptocurrencies.
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Pre-election management at the expense of cryptocurrencies?
Officially, the House could have relegated to the background, the vote or even the discussions around this bill, as it had to prioritize and consider other topics that would be more urgent.
Unofficially, however, the electoral calendar in Brazil does not play in favor of a possible vote on a bill on cryptocurrencies. The next presidential elections are on October 2 this year, an agenda that could then push the congress to refrain from actually discussing sensitive topicswhich could earn them the wrath of their constituents.
The project approved by the Brazilian Senate last April will therefore perhaps still have to wait and wait for the results of the next presidential elections, before moving on to the next stage.
A multi-faceted crypto bill in Brazil
Cryptocurrency miners are on the list of major beneficiaries of this possible new regulation of the sector in Brazil.
Not only does the bill legalize mining, but it also includes provisions that set the conditions for a tax exemptionfor mining operations that supply their machines entirely with electricity from renewable energies.
But the bill also aims to strengthen the power available to the authorities, over the supervision of certain key players, and in terms of repression against scams and other crimes in the sector.
In this regard, the bill provides for the establishment of a single regulator overseeing crypto stock exchanges in the country. It also defines a new type of crime related to cryptocurrencies, while establishing severe penalties against the individuals or companies concerned.
On paper, Brazil could become a new Bitco El Doradoin. However, gambling and political uncertainty could just as easily be a game-changer and reverse current advances.
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