Brazil’s Federal Senate will vote on the Bitcoin Law next Tuesday, April 19. Even though the law is up for a vote, there are no guarantees that the bill will pass.
In December 2021, the initial proposal was approved in the country’s Chamber of Deputies, which forms part of the legislative power, and was immediately sent to the Senate for review. The Commission on Economic Matters (CAE) approved the proposal in February.
If the Senate approves the bill, the proposal will be sent again to the Chamber of Deputies and then to Brazil’s president, Jair Bolsonaro, for final approval.
What Could Change with the Bitcoin Law?
Senator Flavio Arns highlighted the bill’s features:
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The Bitcoin Law has three main objectives. The first is to “give security to the virtual assets market;” the second is “to protect the economic-financial order;” and the third is “to protect the Brazilian investor.”
According to the senator, the bill isn’t an impediment, but instead, it “seeks to bring greater confidence to investors and, consequently, bring greater stability to companies operating in this segment.”
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He says that the most urgent part of the proposal is to define a state body or entity responsible for regulating and supervising the crypto-asset market. For him, that entity will probably be the Central Bank of Brazil.
On The Flipside
- The approval of the Bitcoin Law will not make Bitcoin a legal tender in Brazil as it did in El Salvador, but rather allow the president to establish the entity that will be in charge of controlling and ruling over cryptocurrencies in the country.
