Binance Celebrates Approval of Brazil’s Cryptocurrency Law

The world’s largest cryptocurrency exchange, Binance, praised the passage of Brazil’s cryptocurrency law. Law No. 14,478 of 2022, sanctioned last Wednesday (21), was published this Thursday (22) in the Official Gazette.

Now a six-month period opens for national and foreign cryptocurrency brokers to adapt to the new rules. Binance was one of the international brokers operating out of Brazil that was already trying to comply with the country’s regulations.

In addition to brokerage, the adoption of the rules affected other industries, which commented to Livecoins on what is changing with the implementation of the law in the country.

Binance Praises Cryptocurrency Law Passed by Jair Bolsonaro

In a note, Binance indicates what it finds interesting about the new rules for cryptocurrencies. According to the global brokerage, Brazil is now at the forefront of the cryptocurrency industry.

“Binance, the global blockchain ecosystem behind the world’s largest digital asset exchange, believes the publication of the law regulating virtual asset providers is an important step in regulating the cryptocurrency industry and places the country on the forefront of discussions to allow this segment to develop in a sustainable way.

Law No. 14,478, published today in the Official Journal of the Union, recognizes the relevance of the crypto, blockchain and Web3 industries and reinforces the potential that this technology has to contribute to the social and economic development of the largest economy in Latin America.

Binance believes that regulation is the only way for the crypto and blockchain industry to develop and reach the general public so that society can enjoy the benefits this technology offers. A regulated environment can support innovation and is critical to establishing industry confidence and long-term growth.

The exchange is committed to continuing to work with regulators and legislators to help develop policies that support this thriving industry, protect consumers and investors, and promote innovation.”

Globally, Binance has obtained regulatory approvals or authorizations in 11 countries, including France, Italy and more.

In a statement accompanying the report, Binance indicates that it will continue to work in this direction as part of its commitment to act in full compliance with local regulatory scenarios.

ABCripto also celebrated the passing of the bill

The Brazilian Association of Cryptoeconomics (ABCripto) celebrated the adoption of Law 4.401/2021, which became Law No. 14.478/2022.

Dubbed the “Marco das Cryptocurrencies”, the project has been discussed in the National Congress for the last seven years, but now it is coming to an end.

“The Brazilian Association of Cryptoeconomics – ABCripto, celebrates that President Jair Bolsonaro (PL) has approved Bill 4.041/2021, which was published in the Government Gazette on Thursday (22).

The Cryptoeconomics Regulatory Framework, approved by the Chamber of Deputies in late November after seven years of debate between lawmakers and the industry, defines guidelines for regulation, protection and consumer protection, as well as the fight against financial crimes and transparency of operations involving Cryptoassets.

The Regulatory Framework is extremely important, as it lays down clear rules regarding the responsibilities of companies and the future regulator. ABCripto believes in a prosperous future for the crypto-economy and this safe path makes Brazil’s development more and more possible.”

“Brazil joined a select group of countries,” says Abranet

For Abranet (Brazilian Internet Association), the final approval represents a step forward for the country’s financial sector.

Since the definition of concepts and processes will provide legal certainty not only to the financial sector, but to the entire Brazilian population, the new law places Brazil in a select group.

According to Abranet’s president, Eduardo Neger, the new law is a milestone for the country.

“The Cryptocurrency Law is a milestone for the Brazilian financial sector and places Brazil in a select group of countries that have specific legislation to regulate cryptocurrencies.

With the entry into force of the law, we expect the regulator to act actively in drawing up further guidelines in this regard.

Moreover, with the definition of virtual assets, there is a segmentation in the market, eliminating any confusion between electronic money and cryptocurrencies, which are now under the protection of the new legislation.”

Lawyer believes criminal prosecution is improving with the advent of the cryptocurrency law

For lawyer Artêmio Picanço, the new rules call for criminal prosecution of those who commit crimes with cryptocurrencies.

“With what is called the regulatory framework, companies will have to adapt and there may be a regulatory decree to clarify some concepts that were vague with the coming of the law. Cryptocurrency operating companies will have an adjustment period of 180 days to regularize .

It is time to observe the new legal instruments that will come. The main point in this issue is the inclusion of a specific crime for those who commit illegal activities involving virtual assets, which facilitates the work of criminal prosecution authorities, that is, the prosecutor’s office and the police. In this way it becomes possible to request preventive arrests in a more abbreviated way, which was previously not feasible due to the need to fit in other criminal types.”