The Brazilian Crypto Assets industry celebrates regulatory progress in 2025, but is concerned about new tax policies.

Source: PortaldoBitcoin Original Title: Brazilian crypto sector celebrates regulatory advancement in 2025, but fears new taxes Original Link:

Exchange Leaders Share Regulatory Progress

Leaders from major cryptocurrency exchanges, including a prominent exchange, shared the progress of new regulatory rules expected to be implemented in the Brazilian market by the end of 2025 at the Blockchain Conference Brasil.

According to João Canhada, the founder of Foxbit, the current regulatory framework has taken this form largely thanks to the silent efforts of industry companies and institutions. He revealed that the early drafts of the regulations were much stricter.

“We are working behind the scenes to ensure that regulation does not become overly stringent,” he said, noting that decisions made in recent months have prevented “more restrictive” scenarios for exchanges and users, such as the potential ban on self-custody of cryptocurrencies.

“The biggest mistake is not having Bitcoin. The second is not having self-custody. If you don't have self-custody, you are not the owner, but a hostage,” he emphasized.

Under the moderation of Rodrigo Marinho (Free Market Institute), Ripple's Bel Longhi, Thiago Sarandy from a leading exchange, and Júlia Rosin from a compliance platform also participated in the discussion.

Ripple's Director of Regulatory and Public Policy, Bel Longhi, stated that 2025 represents a turning point for the global digital asset market. She claimed that this year is “completely decisive” as many countries are releasing new regulatory frameworks, such as the U.S. Genius Act and Europe's MiCA.

“These measures have brought clarity, allowing large institutions to enter the market. We have seen Swift, JPMorgan, BlackRock, and other traditional participants begin to use blockchain,” she noted.

Bel believes that the Brazilian central bank has done well in adopting a technology-neutral approach to international payments, allowing blockchain transactions to be processed in the same way as conventional foreign exchange operations. “Brazil is doing very well. This is very close to what Switzerland has done.”

Thiago Sarandy, the legal and regulatory head of a leading exchange, detailed two major victories achieved by the industry during this regulatory cycle: the non-continuation of the interim measure (MP) that could generate new taxes and the removal of the global order book from foreign exchange regulation.

Issues to Pay Attention to in Regulation

Ripple's director has issued an important warning about the tax implications of new regulations: “The issue is not paying taxes. It is paying 3.5% across the entire cross-border payment chain. This is huge and concerning.”

Bel also pointed out that the central bank's inclusion of stablecoin transactions into the foreign exchange market structure might push users towards more volatile assets. “This measure could encourage other riskier assets, and I'm not sure if that is the goal.”

Despite concerns, she gave a positive evaluation of the central bank's open attitude, pointing out that the department is “willing to learn together.”

Julia Rosin, the public policy director of a certain compliance platform, revealed that the company is strengthening its dialogue with the Ministry of Finance, particularly regarding taxation, and is trying to arrange a meeting with Finance Minister Fernando Haddad to present detailed data about the industry. “The industry does not oppose taxation. We just want a system that allows the market to survive.”

The executive pointed out another regulatory bottleneck: the lack of coordination between institutions. “The central bank, tax authorities, and securities commission are independent. We seek unification, but that is not the reality. Creating regulations that are unrelated to each other is meaningless.”

She illustrated the global incompatibility involving the Travel Rule, which has led Brazil to require legislation from other countries, even without requiring local businesses to collect data. “If an exchange in another country is not required to retain data, they won't provide it to you. This is a global issue. We need to elevate this discussion to an international level.”

A senior executive from a leading exchange emphasized that the industry needs to prevent the creation of trading taxes similar to the old CPMF. He explained that in India, any transaction is subject to a 1% tax, which causes users to abandon local platforms. “Poorly designed taxes can harm the entire market, drive away users, and stifle technology. This is the main risk.”

He also criticized the fact that some products (such as margin trading) are restricted in the country. For him, this reflects an attempt to integrate the crypto sector into traditional banking logic. “Regulators need to understand that the crypto sector is not like any other sector. The community is strong, and the technology easily does not follow centralization. Overregulation will prevent central banks from wanting visibility over transactions.”

The founder of Foxbit also defended domestic exchanges, stating that they want to offer products such as derivatives and credit, but currently “regulatory standards are too high and not allowed.”

For him, the challenge is regulatory rather than technical: “In DeFi, I can obtain credit in a matter of seconds. In Brazil, I need contracts and multiple signatures. This is not efficient.”

Future Outlook

Bel Longhi commented on Congressman Lucas Ramos's bill regarding stablecoin regulation. According to her, this is an urgent issue because the federal tax office has stated that over 70% of cryptocurrency usage in Brazil involves stablecoins.

The executive explained that the text protects consumers and provides security for issuers, with auditable reserve requirements. However, she pointed out a missing aspect: “The bill does not guarantee the international liquidity of stablecoins. They need to circulate freely between countries.”

She also pointed out that the bill needs to be coordinated with Central Bank Resolution No. 520, which has defined its own rules regarding reserves. “This resolution goes a bit far, but these are issues we can work with the central bank on.”

In the end, Bel summarized the general sentiment: “This year's achievements outweigh the problems.”