Anyone who defrauds the purchase or sale of bitcoin in Brazil could face a prison sentence of four to eight years, according to a new bill being considered in the Federal Senate. Moreover, the PL that will be voted on next Tuesday (3) may be able to determine that Bitcoin brokers in Brazil participate in the FGC and practice asset separation.
It all started in 2021, when Senator Eduardo Braga (MDB-AM) presented his bill, which could see Bitcoin pyramidists jailed for up to 8 years, in addition to paying a heavy fine.
The project’s rapporteur is Senator Soraya Thronicke (PODEMOS-MS), who presented a substitute for the bill. According to her, the adoption of the Legal Framework for Cryptocurrencies, through Law 14.478/2022, has already introduced changes to the law.
Many parts of the PL’s original proposal have therefore already been established in Brazil. But with PL No. 3,706/2021, senators can improve the legislation and introduce new elements.
The Federal Senate meets to vote on the implementation of the FGC and asset separation for bitcoin brokers in Brazil
Next Tuesday (3), the Federal Senate, in the Public Security Committee (CSP), will meet from 11 a.m. During the meeting, Senators may vote on a non-terminating basis whether PL No. 3,706/2021 deserves to proceed with the replacement text.
If the project is approved by the committee’s senators, it will finally go to the CCJ. Therefore, the Federal Senate can present the first changes to the recently approved Cryptocurrency law and not yet regulated by the Central Bank of Brazil.
The replacement text presented by Senator Soraya calls for changes to several laws, such as the Criminal Code itself. Moreover, the new bill asks cryptocurrency brokers to create risk management policies against cyber attacks, among other things.
“Add art. 24-A by Law No. 7,492 of June 16, 1986, to classify the creation of a financial pyramid and the mediation or negotiation of virtual assets for the purpose of committing crimes; updates Law No. 12,865 of October 9, 2013 on combating electronic fraud in the payments market; amends Legislative Decree No. 2,848 of December 7, 1940 – Criminal Code; amends Law No. 14,478 of December 21, 2022 and provides for other measures.”
Asset segregation and FGC for cryptocurrency brokers in Brazil
According to the research of the Livecoinsthe new PL asks that all bitcoin and cryptocurrency brokers in Brazil follow the rules applied in the FGC.
“Article 3 All institutions authorized to operate by the Central Bank of Brazil must have the same obligations and duties within the scope of the Credit Guarantee Fund (FGC), for the purpose of guaranteeing consumer deposits“, according to the PL article.
Moreover, in Article 4 of Law 14.478/2022, it adds the item of separation of assets of brokers.
“VIII – separation of self-owned assets from virtual assets held for the account and on behalf of third parties. (NR)”
Updated registration of cryptocurrency investors with the Central Bank of Brazil
Treating cryptocurrency broker customers as “consumers,” the new PL still requires everyone to keep their registrations with the Central Bank of Brazil up to date.
“Article 4 Consumers must keep their registration information up to date with institutions authorized to operate by the Central Bank of Brazil with which they have a commercial or consumer relationship“, according to the bill.
If the new bill is approved by the Senate committee and moves forward, it will still need to be approved by a majority of senators before being sent to the House of Representatives. So its approval still depends on a range of factors before the rules come into effect.
Source: Live Coins

Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.