Make way for the crypto carnival! – Last April, the Upper House of Parliament in Brazil voted in in favor of the law legalizing Bitcoin (BTC) and other cryptocurrencies. Today, thanks to another bill, Brazil could go further by legalizing the payments in cryptocurrencies.
The bill that could legalize cryptocurrency payments
A Brazilian deputy, Paul Martins, introduced a bill recently. It would allow the Bitcoin (BTC) to be recognized as a means of payment legally permissible. More specifically, this bill aims to expand the legal uses of cryptocurrencies in Brazil.
The bill aims to complete article 835 of the Code of Civil Procedure which would provide that cryptocurrencies can be “ used as a financial asset, a means of exchange or payment, or an instrument of access to investment goods and services”.
However, as currently drafted, this bill would not necessarily make Bitcoin or other cryptocurrencies legal tender. More precisely, this bill would lead to considering cryptocurrencies as Financial assets legally admitted for investments and other uses. However, interpreting this proposal broadly, one could consider that cryptocurrencies would be used to pay for goods and services in Brazil.
In addition, the bill refers to the power and the restrictions Brazilian courts if cryptocurrencies were to be recognized as financial assets. As such, the courts could pronounce the freezing of exchange accounts. To do this, the court would have the right to force ” intermediate “such as exchanges to freeze the debtor’s crypto assets.
However, never they would not have the power to seize the private keys users :
“The following rules will be respected: access by the judiciary to the private key of users is prohibited. »
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Brazil: Fertile Ground for Bitcoin Adoption
Currently, Brazil has more people investing in Bitcoin and other cryptocurrencies than in the US stock market. And for good reason, like many other South American countries, Brazil has experienced in recent decades theinflationthe dictatorship and the confiscation of savings inhabitants. So, quite naturally, Brazilians don’t have more trust in centralized institutions.
Bitcoin is a decentralized monetary network. He became a liquid and reliable alternative to money issued by the Brazilian state. Indeed, a member of Congress, known for defending economic freedom, said:
” [Bitcoin] will transform several state tools, which today or until recently were considered indispensable, such as the Central Bank. As monetary regulatory authorities, it will make them obsolete, sooner or later. »
Unquestionably, Bitcoin represents a hope of freedom for Latin America and Brazil, but also for many other citizens.
It will be necessary maybe wait a few years before this law was enacted. Time will pass before Brazil follows in the footsteps of the Central African Republic and salvador. Indeed, the bill is, for the time being, only at the discussion phase in the Chamber of Deputies within the Legislative Assembly of the country. Between now and adoption by the Brazilian Senate, there could be many twists and turns.
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