There are three bills that will be discussed this week. Among them, it is proposed to eliminate taxes on cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. mining, as long a situation where you buy a cryptocurrency with the expectation of selling it at a higher price for profit later. as it uses renewable energy sources.
Lawmakers in Brazil are preparing to discuss several legislative bills this week that address a place where cryptocurrency can be sent to and from, in the form of a string of letters and numbers. regulation of the digital digital technologies are these electronic tools that have the ability to generate, store or even process data. currency currency is a medium of exchange that defines value. space at the local level and could eliminate taxes on cryptocurrency transactions.
According to reportó According to the Senate’s official news on Tuesday, the Economic Affairs Committee (CAE), a legislative body of Brazil’s Federal Senate, will debate three bills on Thursday of this week. They are the proposals PL 3.825 / 2019 , PL 3.949 / 2019 y PL 4207/2020 presented respectively by Senators Flávio Arns, Styvenson Valentim and Soraya Thronicke.
Brazil’s Senate debates crypto law proposals
According to the report, the public debate will address the impacts of cryptocurrencies, services related to transactions with digital currencies on e-commerce platforms, conditions for the operation of crypto exchanges in the Brazilian economy, as well as crimes related to the fraudulent use of digital assets.
In addition to the CAE and legislators, representatives of the Central Bank and members of the Securities Commission (CVM) and the Brazilian Federation of Banks (Febraban) will also participate in the discussion. In addition, Gustavo Chameti, the founder ofexchange businesses that allow customers to trade cryptocurrencies for fiat money or other cryptocurrencies. Brazilian cryptocurrency exchange,Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. Marketplace.
The discussion surrounding legislative bills addressing regulation of the digital asset market will come just days after Sen. Irajá Silvestre Filho will present a report with his views on the three proposals.
At the end of November, Sen. Silvestre Filho The Social Democrat Party presented a document in which he summarizes the most important points of the projects. As reported by the local news Bitcoin Portal The legislator presented a favorable opinion and said that the three projects are “a good example of a “good project. in essence very similar none
No taxes for cryptocurrency
In general, the highlights of the legislative proposals are the regulatory aspects of cryptocurrencies. On the one hand, the law would oblige the exchanges to comply with the Anti-Money Laundering Act (AML) as well as to apply the Consumer Protection Code. On the other hand, it would impose a zero tax rate for mining energy expenditure if the source is clean and renewable.
Aware of the high demand for electricity in activities related to the exploration of virtual assets and as a way to encourage the use of renewable energies, we propose the reduction to zero (0) of the tax rates levied on the acquisition of machines and computational tools used in these activities.
According toCointelegraphThe proposals are that cryptocurrency mining activities would be regulated regulation is when something is controlled by a specific set of rules. by the National Electric Power Agency ( ANEEL ), which would also be responsible for approving equipment procurement. The language of the document appears to consider only proof-of-work poW is a type of consensus algorithm that rewards validators according to the amount of computational power they have expended. (PoW) mining, such as Bitcoin, which is done by equipment such as ASICs.
On the other hand, he suggests that hardware wallets, such as Ledger a record of financial transactions that cannot be changed, only appended with new transactions. must also be approved by ANEEL, as they can be considered as equipment for the ” preservation” de activos digitales, según destacó Cointelegraph.
“The acquisition of machines (hardware) and computational tools (software) used in the activities of processing, mining a process where blocks are added to a blockchain, verifying transactions. It is also the process through which new bitcoin or some altcoins are created. and preservation of virtual assets, by legal entities that use 100% (one hundred percent) of electricity generated from renewable sources in these activities, duly admitted and approved by the local power concessionaire, in accordance with Resolution No. 687/2015 ANEEL”.
Regulatory framework for cryptocurrencies
Similar to other bills, these bills suggested the Central Bank of Brazil as the main regulator of the cryptocurrency market, as well as for the regulation of exchanges and trading platforms. The Brazilian Securities Commission (CVM) is also mentioned.
Senator Silvestre Filho, however, considered that this The task of defining the governing body would not fall to the Legislative Branch. Instead, he expects the Executive Branch to appoint the competent entities. for the regulation of the sector.
The legislator recalled in the document that the three projects determine that the “. cryptoasset a cryptoasset is any digital asset that uses cryptographic technologies to maintain its operation as a currency or decentralized application. brokers “must be subject to the regulations of the Money Laundering Act. In practice, this means that exchanges must be able to identify their customers, keep records of transactions and maintain communication with the COAF (Financial Activities Control Board).
The senator also says the Consumer Protection Code the action of coding is to write programming statements for a program. should apply to relationships involving the purchase and sale of cryptocurrencies, ” especially because of technical vulnerability The “consumer’s perception of the still-new sector.
The main lines we offer are the definition of a regulatory framework, with an eminently principled character, aimed at protecting and defending the consumer, combating financial crime and ensuring transparency in crypto-asset transactions.
Varios proyectos de ley en revisión
If the regulation is approved, Brazil could become one of the most attractive nations for gold miners contributors to a blockchain taking part in the process of mining. They can be professional miners or organizations with large-scale operations, or hobbyists who set up mining rigs at home or in the office. in the world.Bitcoin from all over the world. Although it will still have to pass the House, (which is the Senate’s review house) where it will also be analyzed and may undergo modifications.
However, it should be noted that lawmakers in the South American powerhouse are already reviewing other bills to regulate the growing crypto space domestically.
As he recalledBitcoin Portal, el The first bill aimed at regulating the cryptocurrency market an area or arena, online or offline, in which commercial dealings are conducted. in Brazil was submitted by a special commission of the Chamber of Deputies at the end of September. . This is the BILL 2303/15, by federal deputy Aureo Moreira Ribeiro. This proposal has yet to be voted on in an upcoming plenary session.
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Article by Hannah Estefania Perez /DiarioBitcoin
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