Brazil Senate Approves Bill That Could See Country Become The Next Bitcoin Mining Haven

Brazil’s Senate has approved legislation that brings the country closer to regulating cryptocurrency transactions. 

What Happened: The bill authored by Senator Flávio Arns proposes the regulation of cryptocurrency assets and proposes their supervision between the country’s central bank and tax agency.

The measure is yet to be voted on by the country’s Chamber of Deputies and could still be vetoed by the Brazillian president. 

See Also: How To Get Free Crypto

Why It Matters: Arns’ bill will exempt cryptocurrencies from falling under the purview of Brazil’s Securities and Exchange Commission. However, initial coin offerings will come under the regulator.

Notably, the bill exempts hardware such as Bitcoin BTC/USD mining from taxation until 2029 if the companies are 100% carbon neutral. 

Fines and prison terms ranging from four to eight years have been proposed in the legislation for crimes involving digital assets.

In June 2021, El Salvador became the world’s first country to adopt Bitcoin as legal tender. The Central American nation is planning to harness energy from volcanoes to mine the apex coin.

Price Action: At press time, Bitcoin traded 3.2% higher over 24 hours at $41,366.85, according to data from Benzinga Pro. 

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