#196: Congress Pushes Back Against New Crypto Taxes
Plus: Brazil's government looks to hire blockchain analytics firm to track crypto
Olá pessoal!
Welcome back to Brazil Crypto Report for the week of June 16-20, 2025
Apologies for being a few days late here. I spent the last few days trekking in the interior of Brazil so I’m still getting caught up. I logged 30 km and lost 3kg over four days but it was well worth it.
📰 Top Stories this Week
Brazil’s government looks to hire a blockchain analytics company to track cryptocurrency
Pro-crypto Deputies push back on Finance Ministry’s proposed tax rules
Ethereum Brasil will take place Sept 10-11 at Morumbi Stadium in Sao Paulo
Thanks for reading and have a great week!
- AWS
🙌 🇧🇷Brazil Crypto Report is a free publication; if you wish to support my work you can do so by hitting the button below👇
Brazil Crypto Report is presented by
Avenia is the programmable financial infrastructure for Latin America. Connect to local payment rails like PIX, SPEI and CBU — using stablecoins as settlement — and unlock real-time, cross-border payments without banks, FX desks, or SWIFT.
Whether you're building a wallet, a crypto card, or a global treasury solution, Avenia gives you the APIs and compliance-ready infrastructure to scale in LatAm. Move money between BRL, USD, MXN and more — fast, transparent, and fully on-chain.
🎙️New Podcast!
This week’s episode explores Brazil’s crypto tax regime, which went from stable to total chaos in two weeks’ time. I talk to tax expert Daniel de Paiva Gomes about changes to the IOF tax and what that means for stablecoin usage, and proposed changes to the capital gains tax structure that will have significant impact on retail investors.
🙌 Friendly reminder that you can listen to BCR on your favorite podcast platform YouTube | Spotify | Apple Podcasts
Brazil’s government to hire cryptocurrency tracking service
The National Secretariat of Public Security, which is linked to the Ministry of Justice and Public Security, has opened a bidding process to hire a software company that provides cryptocurrency tracking and analysis.
The process will be carried out via an electronic auction linked to the General Services Administration Unit.
The term of the contract would be 36 months, with technical support, knowledge transfer and training included.
The deadline for proposals is July 4, 2025 at 10:00am.
Portal do Bitcoin Livecoins BlockTrends
Pro-Crypto Deputies push back on proposed tax rules
Several members of Brazil’s Chamber of Deputies are opposed to the tax changes proposed by the Ministry of Finance that would eliminate a capital gains tax exemption on transactions up to R$35,000 per month.
Deputy Aureo Ribeiro proposed a return to the previous tax schedule that was in place before the current provisional measure was proposed, arguing that the digital assets market would be severely harmed by the changes:
“The taxation of these assets, with their intrinsic characteristics of decentralization, globality and rapid technological evolution, requires a broader and more technical debate (…). The hasty inclusion of such provisions in an instrument such as a Provisional Measure may result in an inadequate tax regime.”
Deputy Carolina de Toni argued for a similar return to the previous regime:
“The virtual assets sector is already subject to an exhaustive tax regime, and there is no gap that justifies the increase intended by Provisional Measure No. 1,303/2025.”
Luiz Philippe de Orleans e Bragança proposed a tax burden that is triggered only when there is a conversion from digital assets into fiat currency.
Deputy Eros Biondini, the same representative who recently introduced Bitcoin Strategic Reserve legislation, proposed an amendment to the provisional measure that would remove all of the language about cryptocurrency transactions.
He told Exame:
"This is not an investment, but rather a savings account, a store of value. Therefore, it should not be taxed."
Meanwhile, Marcos Barbosa Pinto — Secretary of Economic Reforms for the Ministry of Finance — defended the new taxes. He said that when companies use stablecoins for dollar remittances instead of fiat currency they need to be subject to the same treatment.
Regarding the decision to apply a 17.5% tax to all crypto capital gains, he said it creates a more fair and level playing field:
“We standardized the rates to let the investor decide the best form of investment, according to the merits of each alternative, and not force the investor to take one path or another through taxation”.
Portal do Bitcoin Exame Portal do Bitcoin Livecoins BlockTrends
Ethereum Brasil is coming to Morumbi Stadium in Sao Paulo
The 2025 edition of Brazil’s leading Ethereum conference will take place September 10-11 at MorumBIS Stadium, home of the Sao Paulo Football Club.
The event is being supported by House Experience, a project by SPFC’s innovation hub that aims to integrate sports, entertainment and technology.
Content themes include tokenization, Web 2.5, artificial intelligence and blockchain adoption in Brazil, with a focus on real solutions.
Afonso Belice, president of Ethereum Brasil, said in a statement:
“Our goal is to bring visibility and generate business, showing the world the strength of the Brazilian ecosystem and its builders, with a focus on concrete results.”
🗞Brazil Crypto News Rundown
📈 Markets
Brazilian crypto funds and asset managers are becoming more comfortable dabbling in the asset class. (Valor Investe)
The B3 exchange launched Solana and Ethereum futures for Brazilian traders. (Livecoins)
📲 Adoption
BitGo announced a partnership with Dinamo Networks to offer digital custody services in Brazil. (BlockNews)
Blockchain gaming guild Ola GG sees Brazil as the leader for Web3 gaming in Latin America. (BlockTrends)
🏛 Policy, Regulation and Enforcement
A court ruled that crypto brokerages in Brazil are liable for damages to clients. In the case of a Mercado Bitcoin client who lost R$200,000 in a hacking incident, the Superior Court of Justice wrote:
“Platforms designed for cryptocurrency transactions are objectively liable for fraudulent transactions when it is verified that the transfer of bitcoins occurred using a login, password and two-factor authentication.” (Livecoins)
There is speculation that influencer Renato Trezoitao, considered by some as the “Brazilian Nayib Bukele”, will run for president of Brazil in 2026 after meeting with the Christian Democracy party. (Livecoins)
Mirelis Zerpa, wife of “Pharaoh of Bitcoins” Glaidson Acacio dos Santos, was deported to Brazil by the United States on June 21. She had been imprisoned in the US since January 2024 for her role in the GAS Consultoria bitcoin pyramid scheme. (Portal do Bitcoin) (Livecoins)
Brazil’s Senate is looking to further tighten rules on online betting platforms. (CoinTelegraph Brasil)