Brazil Revenue Collector’s Data Shows Cryptocurrency Volumes Exceed $6 Billion Between January and September
Brazil Revenue Collector"s Data Shows Cryptocurrency Volumes Exceed $6 Billion Between January and September
Raw data from the Federal Revenue of Brazil (RFB) shows that crypto traded volumes in the country exceeded $6 billion between January and September this year. According to the data, bitcoin dominates as it accounts for over 80% of traded volumes. Still, other cryptos like bitcoin cash, dai, and dogecoin had significant volumes in the period under review.
Since August 2019, Brazilian crypto companies and individual users have been complying with the new requirement to furnish the RFB with details of their digital currency transactions. The regulations specifically state that companies and legal persons must provide the “monthly value of the operations, alone or jointly, which exceeds $5,900 (30,000 reals).”
As one report explains, Brazilians use cryptocurrencies when settling transactions that occur outside official channels. Brazil, which has the ninth-largest economy in the world, has a “long history of capital controls.” Such capital controls primarily affect small businesses’ access to foreign exchange. This lack of access forces small businesses to seek alternatives when making payments across borders.
Meanwhile, the report same quotes João Canhada, the CEO of Foxbit crypto exchange commenting on the profile of BTC traders in Brazil. Canhada says: They are investors seeking diversification, often leaving the traditional market, finishing with financial investments in traditional banks and brokers, and coming to acquire their first bitcoin. This customer profile prefers OTC.
In the meantime, the RFB urges caution when using its data as it may be subject to changes in the future. The revenue collector states that “what is disclosed in this open data document is consolidated information provided by taxpayers” and therefore it may include errors.
The RFB warns that the “errors are frequent, can be significant and are not, in principle, identified and excluded from the set of data now disclosed.”
What are your thoughts on RFB’s crypto volumes data? Share your views in the comments section below. Bitcoin Is Going Through the Roof in Argentina While the Government Imposes New Taxes EMERGING MARKETS | 5 days ago Nigeria"s Yellow Card Processes $165 Million in Crypto Remittances So Far This Year EMERGING MARKETS | Dec 7, 2020 Tags in this story BCH, Brazil cryptocurrency, BTC, BTC Dominance, Capital Controls, crypto exchange, DAI, dogecoin, Federal Revenue of Brazil, Foreign exchange, Foxbit, OTC, Taxpayer, traded volumes
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