Brazil plans to include virtual currencies as a means of payment and regulate virtual asset providers

On November 30, a new draft legislation in Brazil proposed to include virtual currencies as a means of payment and to regulate virtual asset providers. Virtual currencies, such as Bitcoin, may be regulated by the central bank and supervised by the Financial Activities Control Commission (Coaf). The bill is currently awaiting presidential approval to take effect. The bill aims to provide legal support for the creation of a regulatory framework for the virtual currency market, "reducing the risks of virtual currencies to economic and financial stability, reducing their potential to finance illegal activities, and protecting consumers from possible abuse."