Bitcoin will be usable in Brazil as a means of payment and as an investment asset. The law that established this status, signed by President Jair Bolsonaro.
The head of state approved the document proposed by Congress without changes. It will take effect 180 days after signing. Bitcoin is defined in the law as a digital representation of value.
The Central Bank of Brazil is expected to oversee the use of Bitcoin as a means of payment. The Securities and Exchange Commission will take responsibility for supervising digital gold as an investment asset. Together with the country’s Tax Authority, the two agencies were co-authors of the law.
Bitcoin Magazine did not rule out that the country’s central bank would not facilitate the creation of a favourable regime to promote Bitcoin as a means of settlement.
The president of the Central Bank of Brazil, Roberto Campos Neto, citing volatility, has repeatedly said that he does not view cryptocurrencies as an alternative to fiat.
Earlier the regulator promised to roll out a CBDC in 2024 after a closed pilot program with financial institutions. In Neto’s view, the new means of payment will not violate monetary policy and will not harm banks.
Earlier, Bitcoin was approved as a means of payment by the authorities of El Salvador and of the Central African Republic.
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