Victor Ugochukwu · Dec 14, 2020 . 5min read
Brazil’s ABCripto Launches Crypto Self-regulatory Code
Members of the Brazilian crypto-economy association ABCripto currently signed a code for self-regulation of the cryptocurrency market.
By Komal Joshi · Aug 19, 2020 . 6min read
Members of the Brazilian crypto-economy association ABCripto currently signed code for self-regulation of the cryptocurrency market. It has developed a self-regulatory code for crypto exchanges. According to Criptonoticias, the document attempts to legitimize and assure the application of crypto assets in Brazilian territory.
Additionally, Brazil’s largest cryptocurrency exchanges have provided consent to develop and adhere to a new self-regulatory code of conduct. They have collectively committed to implementing know-your-customer (KYC) and other compliance-related protocols.
Brazil on a commercialization run of about 100 billion dollars in cryptocurrencies.
The deal was signed last week on a live broadcast. Moreover, a private platform powered by blockchain developed by GrowthTech recorded it. This company creates distributed ledger solutions for the notarial and real estate market. Furthermore, IBM cloud services support it. Till date, they have submitted four crypto-specific bills to parliament. But, Brazil is yet to come close to adopting any formal regulatory system for its fast-growing cryptocurrency sector. The concept involves a series of operational practices. Furthermore, it involves establishing compliance standards among its market’s constituent members.
The companies that inked this self-regulation code include exchange houses Foxbit, Ripio, Bitcoin Market, and NovaDAX. These exchange platforms collectively form up approximately 80% of the volume of cryptocurrency transactions in Brazil. Owing to this, the ABCripto contemplates this agreement as a milestone in the crypto assets’ Brazilian ecosystem.
Maximum emblematic companies in the market are determined to sign this agreement, to achieve commercialization by the end of 2020, about 100 billion dollars in cryptocurrencies. To achieve this, companies who have expertise in the custody, brokerage, and exchange of crypto assets will have to consolidate measures to deter crime and money laundering on their platforms.
In enhancement to KYC policies, members will also require to develop security, increase legal compliance, safeguard user data, and commit to respecting free competition within the industry. The organization said that members who do not follow the new code could face warnings, fines, or even expulsion in extreme cases.
Follow Cryptodose for more updates.