Brazil’s Central Bank Governor Expects Crypto Investment in Country to Surpass $9 Billion

The total value of cryptocurrencies purchased by Brazilians this year has exceeded $4 billion, according to the data released by the Central Bank of Brazil in a report last week. A total of nearly R$ 23.3 billion, $4.270 billion has been traded from January to August-end. In August, the purchase value was $496 million. In August, Roberto Campos Neto, the president of Brazil’s central bank, also said that they need to pay attention to cryptocurrencies as they are here to stay. “We need to reshape the world of regulation,” he added. The value of crypto assets bought by Brazilians reached its peak in May at $756 million. That month, the Brazilian market broke a record by trading R$ 826 million ($150 million) in Bitcoin in a single day. But since then, they saw a drop in June and July at $695 million and $583 million, respectively. Still, these numbers have been much higher than the figures reported earlier this year in February at $386 million and $357 million in March. Last week, Deputy Governor for Monetary Policy at the central bank, Bruno Serra, said the Brazilians investment in crypto assets abroad is potentially three times greater than in American shares. He further said that there is a potential for this investment in crypto to reach R$ 50 billion (more than $9 billion in USD). Serra also believes that people’s interest in cryptocurrencies is unlikely to fade anytime soon. Earlier this month, as we reported, a bill advanced through Brazil's House of Representatives, which has been in development since 2015, to regulate cryptocurrency in the country. The bill calls for creating clearer definitions of crypto, will require virtual asset service providers to register, and further aims to crack down on crypto crimes by imposing higher fines and harsher prison sentences. After being approved by a special committee of the Chamber of Deputies, the bill is currently in the hands of the Chamber's Plenary, and once green-lit by them, it will advance to the Senate to be discussed before finally going to the president for a final nod.