Last week, the first bill aimed at regulating the cryptocurrency market in Brazil was advanced by a special committee of the Chamber of Deputies, with the next step being voted in the Plenary. O Bitcoin Portal spoke with some specialists and entities to find out how the expectation for possible legislation has been.
Bill 2303/15 is authored by federal deputy Aureo (Solidariedade-RJ). The text approved by the commission is quite different from the one created in 2015. In the original, cryptocurrencies and mileage were placed in the same basket, something that has now been undone.
In the PL that goes to the Plenary, it is determined that service providers of virtual assets “may only operate in the country upon prior registration, and authorization from an agency or entity of the Federal Public Administration may be required to be indicated in an act of the Executive Power”.
The measure focuses on a very sensitive point in the market: companies and exchanges that operate in Brazil, but have no legal registration in the country.
Febraban supports regulatory framework for cryptocurrencies
The Brazilian Federation of Banks (Febraban) responded to the request for analysis with an open response, stating that the cryptocurrency market needs regulation, but without going into details of the PLs that are being processed.
“The cryptocurrency market is currently on the fringes of a regulatory framework. The Financial Action Group against Money Laundering and Terrorism Financing (Gafi), in which Brazil participates, recommends regulation. Febraban understands that the regulation that disciplines the operations and market of cryptoactives in Brazil is an issue that must be deepened, especially so that the complete absence of regulation does not give rise to financial offenses, such as money laundering. Any measure in this regard should provide operators in this market with more responsibilities and duties towards regulators and control bodies”, said the entity.
The Brazilian Association of Cryptoeconomics (ABcripto) was also contacted by the report, but chose not to comment.
The Foxbit exchange claims that some regulation is needed, but that the problem lies in the dosage. Victor Henrique Martins Gomes, the company’s legal and Compliance director, points out that the prior registration and authorization to operate by virtual asset service providers is a “consensus” among the various bills and that it is a “natural and acceptable move”. ”.
“If we analyze other jurisdictions, such as Ireland, we see that it is a natural and acceptable move, as long as it establishes minimum objective compliance criteria, is agile, online and accessible to everyone, as are the cryptoactives and associated technologies”, said Gomes to Bitcoin Portal.
The legal director emphasizes that the main Brazilian exchanges already follow all Brazilian regulations as they are established in Brazil, this includes, but is not limited to, the Consumer Protection Code, Tax Law and Criminal Law. But he remembers that a system that was born in a “disruptive and ‘no rules’ environment will never manage to live in an over-regulated world”.
“It is acceptable for such rules to accompany the technology and update themselves, such as, for example, a more severe penalty for individuals who commit fraud with cryptoactives or encourage financial pyramids. Or, adaptation to the Compliance rules for exchanges, P2P and arbitrators. Anyway, nothing that brings a lot of bureaucracy in order to suffocate the market, causing migration to friendlier jurisdictions”, analyzes the director of Foxbit.
Wanted, the Bitcoin Market chose not to manifest itself.
Protection that does not impair
Professor Isac Costa, a former CVM analyst, explained in a conversation with the Bitcoin Portal that the bills being discussed in Congress are not intended to generically equate cryptoactives to securities (for example, shares and debentures) .
For the expert, the objective of lawmakers should be to provide greater legal certainty to relationships and enable the inspection of activities. To achieve this, “it is necessary not to regulate the cryptoactive itself, but the service providers, their conduct, prohibitions and responsibilities”, he explains.
“It is not enough to simply place these providers in one of the existing categories (financial institution, payment institution, broker, stock exchange, counter etc.). It is necessary to create a flexible regime that, at the same time, provides investor protection with transparency and equitable treatment, makes it possible for the State and all interested parties to obtain information, but does not make economic activity unfeasible with the imposition of disproportionate regulatory costs “, it says.
The former CVM analyst concludes by pointing out that finding this balance “requires dialogue between State and market, without entrenchment and political will”, in order to develop cryptoeconomy in the country.
Bitcoin is already legal in Brazil
Soon after the project was approved by the special commission, deputy Aureo gave an interview to the Radio of the Chamber of Deputies that confused more than clarified. The congressman starts by saying that Brazilians will be able to buy small things like snacks with bitcoins.
This suggests that this is currently not possible. Bitcoin is legal in Brazil and can be used as a means of payment, as long as the person selling the product or service accepts it. It is also understood that the BTC would be an official currency (“it will be a currency”), which is not in the bill.
Aureo also says: “We debated a few years there to reach a text that recognizes this asset, which allows the transaction of this asset in our country, and which will be regulated by a government agency.” Again, understand that trading with bitcoin is prohibited, which it is not.
Brazilian law follows the principle that what is not prohibited is allowed (like many other democracies).
The Essence of Ethereum and Its Work Process
Frequently, Ethereum is considered a well-known cryptocurrency, but it is in second place. Bitcoin is always a leader in the cryptocurrency world. In contrast to it and various virtual cryptocurrencies, Ethereum always inclines to be a simple means of interchange and reserve. It, like a decentralized calculating net, has been constructed in the basement of the technology of blockchain.
Every single user has straight access to the fit maintenance of digital currency and data in the contribution of Ethereum. Moreover, it does not pay attention to the client’s origin or location that makes it available for transactions on more platforms from an online Bitcoin casino to booking platforms.
All transactions of Ethereum are confirmed and noted in the public ledger that is distributed to all participants of this network. With the help of this method, all participants possessing identical copies of this ledger, are allowed to verify all past deals. Cryptography is used in all blockchain transactions for a purpose of verification or saving net reliability. Besides, every single partaker of the Ethereum net is remunerated with crypto badges by the name of Ether.
In the case of purchase and sale of goods and services, these tokens are regularly made use of. Recently Etherium became a factually dangerous investment and gained rapidly at price. One more exception about this type of crypto is that partakers are able to build an application that is purposed to function on the software of the blockchain. In addition, personal data can be saved and transferred in these applications or control sophisticated financial deals.
Fulfilling the computations is the basic uniqueness in relation to Bitcoin which is the fraction of the production process. All these computational capabilities transform a store of interchange to an apparent checking out store of information and place of decentralized global calculating.
The Difference and Main Specifications Between Ether and Ethereum
As we noted above, Ether is digital currency and can be used in financial deals in the place of investing or as a value store.
Ethereum is a net of blockchain which except for saving and transforming Ether, offers a number of various functions also from simple fund movements to total transactions processing on that web. Ethereum is designed for exploitation of decentralized apps, as well which is beneficial for users to make use of apps and control over their information.
The most curious is when Ether and Ethereum make supposed smart contracts where both parties agree to supply goods or services later on.
VeChain Price Analysis: VET swiftly moves above the previous high, targets $0.135 next?
- VeChain price analysis is bullish today.
- VET/USD saw further advance today.
- Closest resistance at $0.135.
VeChain price analysis is bullish today as more upside was seen over the past hours after a slight pause overnight for the rally that started yesterday. Therefore, we expect VET/USD to continue higher and reach the $0.135 mark next.
The cryptocurrency market traded in the green over the past 24 hours, with Bitcoin up by 3.36 percent. Ethereum saw an even better result, with a gain of 11.82 percent, while Solana (SOL) is the top performer, with a 21 percent increase.
VeChain price movement in the last 24 hours: VeChain breaks above the previous high at $0.128
VET/USD traded in a range of $0.1164 – $0.1321, indicating strong volatility over the last 24 hours. Trading volume has increased by 94.63 percent and totals $640.6 million, while the total market cap trades around $8.46 billion, ranking the coin in 23rd place overall.
VET/USD 4-hour chart: VEt targets $0.135 next?
On the 4-hour chart, we can see the VeChain price action still pushing higher, likely leading to a test of $0.135 resistance later today.
VeChain Price Analysis: VET spikes above the previous high, targets $0.135 next?
VET/USD 4-hour chart. Source: TradingView
VeChain price action has slowly moved higher over the past weeks as bearish pressure frequently has returned, preventing clear higher highs set. After an initial rally on the 1st of October, VET/USD reached $0.115.
From there, a week-long consolidation was seen around $0.11 until a quick spike higher to $0.123 was followed by a sharp retracement of more than 15 percent to the $0.103 mark.
Early last week, VeChain price rallied back to the $0.123 high, with further slight higher highs set over the week. Over the weekend, VET/USD retraced and set a higher low, around $0.115.
Consolidation followed until a rapid push higher began yesterday, resulting in a move towards $0.128. After a slight pause overnight, more upside followed today, quickly pushing VET to a new higher high above $0.128.
VeChain Price Analysis: Conclusion
VeChain price analysis is bullish today as a strong advance over the last 24 hours pushed VET above $0.128 previous high without much hesitation. Therefore, we expect VET/USD to test the $0.135 next resistance later today.
While waiting for Fantom to move further, read our guides on LTC wallets, Gero wallets, and DeFi wallets.
Polkadot (DOT) Price Ready To Ignite, Aims 67% Upswing By End Of October 2021
The crypto space is slowly on the verge to become the fastest growing and flourishing space as the market cap is heading towards $3 trillion at lighting speed. Bitcoin price and Ethereum price are heading towards their respective highs yet again gearing up other altcoins. And hence Polkadot (DOT) price following the trend may also gear up substantially.
The price since the start of October 2021, maintained a considerable uptrend within a pattern. The asset was maintaining a silent trend with small dumps yet considerable large pumps until huge liquidity propelled the price from $34 to $42 a couple of days before. Since then DOT price repeated the same pattern in order to march towards its ATH.
As mentioned before, the price repeatedly formed a bull flag a couple of times and successfully ranged high. The asset has formed a similar pattern yet another time and could range above $50 with a successful breakout. Interestingly, the asset discovered a new support zone around $40 and bounced each time it visited these zones.
However, the Polkadot price is on the verge to form yet another bull flag pattern for the third time in a row. And a breakout from these levels may lead the DOT price to trade within the discovery phase soon.