Brazil has seen a tumultuous week in the cryptocurrency industry. The tax agency announced that they are running out of funds, the Securities and Exchange Commision (CVM) claimed that Brazil is “broke,” the Central Bank of Brazil introduced a new instant payment system, and Cielo, Brazil's largest credit card operator, is now accepting Bitcoin and crypto. Here is the past week of crypto and blockchain news in review, as originally reported by Cointelegraph Brasil. Brazilian tax agency is running out of money Cointelegraph Brasil reported on Sept. 6 that Brazil's tax agency — the Department of Federal Revenue (RFB) — …

Rainforest Foundation US is a New York-based, non-profit NGO working in Central and South America, which is now hoping to support anti-deforestation efforts with crypto and blockchain tech. Deforestation and fires in the Brazilian Amazon On Sept. 4, the Rainforest Foundation — which was founded in part by musician Sting — reached out to the crypto and blockchain community to ask for their support to fight against deforestation and forest fires in Brazil. The post on the foundation’s website states: “Since Bolsonaro took office in January, deforestation in the Brazilian Amazon is up 75% and forest fires in the Brazilian …

The municipal government of São Paulo, Brazil, is going to use a blockchain registry for its public works projects. The Municipal Secretariat of Urban Infrastructure and Works contracted blockchain firm Construtivo to implement a blockchain solution for city hall, Cointelegraph Brasil reports on Sept. 1. Better transparency after past inefficiencies The city has decided to implement a blockchain solution for public works after poor conditions forced the closure of several bridges and roads, despite significant public investment in their construction. According to Marcus Granadeiro, president of Construtivo, the platform will improve access to project-relevant data for all stakeholders. He said: …

This week saw major expansion of crypto payments in Brazil, new standards freeing Bitcoin from Portuguese taxes, and the allegedly fraudulent Grupo Bitcoin Banco’s refusal to pay clients their deposited funds. Brazil's central bank adopts IMF guidelines Brazil’s central bank announced that it would classify cryptocurrencies according to International Monetary Fund (IMF) guidelines on Aug. 26. With the new classification under IMF standards, traded cryptocurrencies will be classified as non-financial products and as such, will be counted as goods on the central bank’s balance sheet. Cointelegraph Brasil reported that the classification of cryptocurrencies as a good is significant, as recognition …

Cielo, the largest payment processing provider in Brazil, has unveiled support for Bitcoin (BTC) and cryptocurrency purchases on its point-of-sale (PoS) devices. Crypto payments via QR codes Cointelegraph Brazil reported the news on Aug. 30. According to the report, users can make crypto payments through Cielo PoS devices via QR codes. The PoS machines generate QR codes for payment, and the customer can then use a smartphone in order to scan a code and make a payment. The customer also reportedly needs to hold either an account with Uzzo or Criptohub — Cielo’s network partners — in order to complete …

The Central Bank of Brazil has moved to classify bought or sold cryptocurrency assets per International Monetary Fund (IMF) guidelines. Brazil’s central bank announced its decision on Aug. 26. With the new classification under IMF standards, traded cryptocurrencies will be classified as non-financial products and as such, will be accounted as goods on the central bank’s balance sheet. A central bank balance sheet, just like a regular bank’s balance sheet, summarizes its financial position, and is made up of assets, equity and liabilities. Since purchasing and selling cryptocurrency involves the execution of foreign exchange contracts, the central bank considers selling …

Last week, Brazilian authorities took regulatory action against crypto-related businesses and several alleged cryptocurrency scams. Earlier this month, legal requirements for crypto-related business tightened in the country, when Brazil’s tax authority, the Department of Federal Revenue (RFB), introduced strict reporting requirements for crypto transactions. Police search Grupo Bitcoin Banco with alleged excessive force The Military Police of Paraná served a warrant and subsequently searched the offices of crypto trading and investment platform Grupo Bitcoin Banco (GBB) in downtown Curitiba. Police sought to seize 25 bitcoins (BTC) following a complaint filed by two GBB clients. GBB’s legal representative Jorge Fayad said …

Wealthy businessman Eike Batista has been arrested by federal police on account of suspected money laundering, which they believe he achieved by trading Bitcoin (BTC) on his wife’s behalf. The details of Batista’s arrest were reported by Cointelegraph Brasil on Aug. 8. Prosecutors reportedly found notes indicating that he had traded BTC for his wife, who is not currently being investigated. The Federal Prosecutor wrote: "Although the suspect’s wife, Mrs. Flávia, is not being investigated, it is quite possible, given the evidence of such a usual means of money laundering that the suspect was using the wife's name and account …

The Brazilian non-profit Alinha Institute has launched their Alinha Tag, aiming to inform customers of the labor conditions of the workshops that produced their clothes. As Cointelegraph Brazil reports on July 3, the new Alinha Tag is especially concerned with forced labor in Brazil’s fashion industry. According to Brazilian business newspaper Valor Económico, over 81,000 workers in Brazil were rescued from forced labor in 2018. Per the Alinha Institute’s website, brands and apparel producers register for the Alinha Tag, requiring a review of working conditions of workshops further up the supply chain. Valor Económico reports that the Alinha Institute has …

Beginning today, Aug. 1, Brazil citizens are obligated to report on their crypto transactions with the country’s tax authority, the Department of Federal Revenue (RFB). Entities in Brazil must report on all kinds of crypto transactions As Cointelegraph Brazil reports today, transactions involving cryptocurrencies such as Bitcoin (BTC) must be reported to the RFB in accordance with rules established by Normative Instruction 1,888 introduced in May 2019. As reported by national public news agency Agência Brasil, the new measure applies to individuals, companies and brokerages, and includes all kinds of crypto-related activities, including buying and selling, as well as donations, …

Fortaleza, a major city of northeast Brazil, will start accepting Bitcoin (BTC) as payment for bus tickets by the end of 2019. Transportation service says paying with Bitcoin will reduce operational costs A local transportation service announced an initiative to allow citizens to pay for bus tickets by credit and debit cards as well as Bitcoin and other cryptocurrencies, as reported by Cointelegraph Brazil on July 25. The initiative purportedly aims to reduce operational costs in the bus ticketing system, the report notes. The entity, called Cooperative of Independent Transport of Passengers of the State of Ceará (Cootraps), said that …

The head of a major Brazilian trade association, the Federation of Industries of the State of São Paulo (FIESP), said that Brazilians could start using crypto to evade taxes. Paulo Skaf, the president of the FIESP, expressed concern over the recent tax reform proposal by Brazilian President Jair Bolsonaro, Cointelegraph Brazil reports on July 25. He reportedly warned that the new tax system could force citizens to use crypto such as Bitcoin (BTC) for tax evasion purposes. In a recent interview with local newspaper Folha de São Paulo, Skaf criticized the upcoming tax reform, calling it a mistake that would …