As governments around the world grow more and more interested in crypto and its regulation, Brazil seems to be the next nation in line. If the newest bill is implemented in Brazil, it will boost penalties for all illegal crypto transactions, including pyramid schemes.
A designated cabinet has already given the nod to the bill, which was presented in the Brazilian House of Representatives on 29th September. The legislation was introduced by deputy Aureo Ribeiro. If the plenary passes it, there will be serious implications for all crypto firms in Brazil. All firms will have to be more stringent about recording client details and have to follow regulations regarding transacting crypto. These announcements come from the official website of the Brazil Congress.
As of now, the punishment for crypto-related money laundering is a maximum imprisonment of 10 years and a fine. If the pill is approved, the maximum prison time will increase to 16 years, and the penalty amount will also increase.
Once the law passes, all crypto exchanges will have a maximum of 180 days to implement these new regulations.
The bill comes at a time when more and more people in Brazil are investing and transacting in crypto. As per comments from João Manoel Pinho de Mello, Director of Bank of Brazil, the next few years will see a significant shift from fiat money to digital money.
In a recent Series B funding, Mercado Bitcoin had raised $200 million from SoftBank Latin America Fund.
Mercado Bitcoin, the largest crypto exchange in Brazil, raised $200 million in a Series B round from the SoftBank Latin America Fund. The crypto scene in Brazil is abuzz, and now it is worth waiting to see what this bill brings.