Brazil’s oldest bank allows tax payments in cryptocurrency

Brazil’s national bank Banco do Brasil интегрировал the ability to pay taxes using digital assets.

The initiative was developed in collaboration with fintech startup Bitfy. Banco do Brasil’s venture arm invested in it.

Customers can use the app to instantly convert cryptocurrency on their account into Brazilian reais to pay taxes.

“This partnership enables broader use and access to the ecosystem of digital assets with nationwide reach,” said Bitfy CEO Lucas Shoh.

Back in late 2022, Brazilian President Jair Bolsonaro signed a law that established Bitcoin’s status as a means of payment and an investment asset.

The head of the country’s central bank, Roberto Campos Neto said plans to issue CBDC in 2024 after a closed pilot programme with financial institutions.