If Bitcoin were to become legal tender in a huge country like Brazil, it would be monumental. But is this plan really on the table? Here are the facts: 1.- A bill to regulate cryptocurrencies has been discussed and passed in the Brazilian House of Representatives, but there is still a long way to go before it becomes law. 2.- The author of the bill, Deputy Aureo Ribeiro, said in a recent interview that he would like cryptocurrencies to be legal tender in the country.
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The question is, are the two facts related? We want to explore that.
Will Bitcoin be legal tender in Brazil anytime soon?
That was the headline that ran all the crypto media. Her thoughts connected fact one with fact two, and her articles almost wrote themselves. It was only logical. Unfortunately, they were wrong about their credibility. The second fact is just Aureo Ribeiro’s thoughts and desires, but these ideas are not included on the bill. The bill aims to regulate cryptocurrencies and requires exchanges and other service providers to register.
In a Twitter thread, the Brazilian journalist Saori Honorato clears things up and leaves nothing to the imagination. “The bill does NOT mention that Bitcoin will become legal tender in Brazil. This bill has been in development since 2015 and giving Bitcoin the status of “legal tender” has never been considered in Brazil. ”In fact, a search on the bill itself shows that“ Bitcoin ”is never mentioned. Enough said.
2) The recent statement by MP Aureo Ribeiro (the author of the bill), in which he says that Brazilians will soon be able to pay at Mcdonald’s and buy houses with Bitcoin, is nothing more than a personal opinion. Don’t get confused.
– Saori Honorato (@saorihonorato) October 4, 2021
In summary, it can be said that this is a law aimed at cryptocurrencies, the content of which has been heavily debated. Is there something new in there? Honorato once again: “One extra feature of the draft law is that it increases the penalty for crimes committed with crypto, such as money laundering. If the law is passed, anyone caught laundering money with crypto could face up to 16 years in prison in Brazil. ”
What did Aureo Ribeiro tell the press?
The interview in question was with Radio Camara, which covers the Chamber of Deputies. It came after the bill was approved, which may have created the confusion. The title says it all: “The regulation of crypto currencies will attract new investments to Brazil.” It is about crypto currencies in general. It’s not specifically about Bitcoin. Could this be a case where journalists confuse one term with the other? Does Aureo Ribeiro know the differences between Altcoins and Bitcoin?
The quote everyone ran with is from Livecoins, whose article states that it is referring to a Bitcoin law:
“We want to separate the wheat from the chaff, create regulations so that you can trade, know where you shop, who you are dealing with. And to have this capital to buy a house, a car, go to McDonald’s to buy a hamburger, it will be a currency in the country as it is in other countries. ”
Is Ribeiro talking about Bitcoin or cryptocurrencies in general? It’s difficult to say. One thing is certain, however, it does not confirm or guarantee until the last sentence. And even that can be interpreted as wishful thinking.
On the Radio Camara website they only mention Bitcoin once and it is meant to make it clear what cryptocurrencies are. “Cryptocurrencies, of which Bitcoin is the best known,” they say. You describe the interview and tell us that it is actually about regulation and control.
“The Congressman stresses that the text prevents the formation of financial pyramids by groups that cheat in the buying and selling of virtual assets by stating that each operator is registered with the bodies of the business sector, with inspection by the Financial Control Board for Activities (Coaf ). . ”
Nobody talks about freedom money. Nobody talks about bitcoin.
BTC price chart for 05/10/2021 on Cexio | Source: BTC/USD on TradingView.com
Conclusion: who is confused?
Of the sources consulted, only Livecoins mentioned a Bitcoin law. Have They Confused All Crypto Journalists? Or did they mix up? Who doesn’t know the difference between Bitcoin and all the other cryptocurrencies? Is it Aureo Ribeiro or is it the press? The language barrier prevents us from figuring out all of these details, but Saori Honorato answers the most important question: “The bill does NOT mention that Bitcoin will become legal tender in Brazil.”
6) Now what? The bill was passed by a special committee of the House of Representatives last week and is now going to the plenary session of the Chamber. If approved by the MPs, it will be submitted to the Senate for reconsideration and, if approved, goes to the President.
– Saori Honorato (@saorihonorato) October 4, 2021
Since she has been the most reliable source of information, let’s end this by quoting her on the future of the bill. “The draft law was approved by a special committee of the Chamber of Deputies last week and is now going to the plenary session of the Chamber. If it is approved by the MPs, it will be submitted to the Senate for reconsideration and, if approved, it will go to the President. ”
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These are the facts. We have separated the wheat from the chaff.
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