Discussion on cryptocurrency regulation and Bitcoin advances in the Senate

The board of directors of the Federal Senate sent this Tuesday (17) to the House’s Committee on Economic Affairs (CAE) the two bills that discuss the regulation of cryptocurrencies in Brazil, PL 4207/2020 and PL 3825/2019 . In May of this year, the two proposals began to be processed together.

Now, the members of the commission constituted by 27 incumbent senators and 27 substitutes – can suggest amendments until the 24th of August. The rapporteur will be Senator Rodrigo Cunha (PSDB-AL).

According to the Bureau, the projects are terminative. In practice, this means that they only need to go through one commission – not several – before being sent to the Chamber of Deputies, sent for sanction, enacted or shelved. The bill would only be debated in plenary if the senators filed an appeal.

bills

PL 3825/2019 was presented in July 2019 by senator Flávio Arns (Podemos-PR). The proposal suggests that the cryptocurrency market be supervised by the Central Bank and the Brazilian Securities Commission (CVM).

The politician spoke to the Bitcoin Portal that it is necessary to discuss the issue in Brazil, especially because of the market risks and crimes associated with cryptocurrencies.

“The bill is in the Economic Affairs Committee for a final decision. It is necessary to regulate the cryptoactive market to protect consumers and the economic-financial order from the various risks that exist in the sector. Among them, we can mention the risks of fraud and the commission of crimes against the economic market”.

PL 4207/2020 was sent to the Senate in August 2020 by Senator Soraya Thronicke (PSL-MS). In summary, the proposal suggests that Brazilian bodies start to inspect legal entities that work with cryptocurrencies in Brazil.

For the report, the senator said that she believes that the proposal will not encounter great resistance for approval:

“Due to the covid-19 pandemic, the Federal Senate has given special attention to matters related to the subject, but I believe that we will be able to guide PL 4207/2020 soon without major problems.”

“This market has been growing all over the world, but Brazil still leaves something to be desired when it comes to regulation. We have to move forward on this issue to provide a minimum of security for investors and further encourage this expansion.”

Discussion in the Chamber of Deputies

In addition to the Federal Senate, the regulation of cryptocurrencies is also discussed in the Chamber of Deputies through bills 2303/2005 and 2060/2019.

PL 2303/2015 seeks to place virtual currencies and air mileage programs under the supervision of the Central Bank. PL 2060/2019, on the other hand, provides for the legal regime of cryptoactives. Both are authored by federal deputy Aureo Ribeiro (Solidariedade-RJ)

In April, the president of the Chamber, Arthur Lira (PP-AL), determined the ‘unification’ of the two proposals into one. The reason is that the two PL’s basically deal with the same subject.