“Crypto” is the new special investigation unit for cryptocurrencies attached to the Public Prosecutor's Office of the Federal District and Territories of Brazil.
The new Crypto Unit of the Brazilian Public Prosecutor's Office will be in charge of assisting prosecutors in various cases related to cryptocurrencies. This was announced by the prosecutor of the Public Prosecutor's Office of the Federal District and Territories of Brazil and coordinator of the new investigative unit, Frederico Meinberg, during a interview granted to Bloomberg.
Brazil is a leader in cryptocurrency adoption in Latin America
Brazil is one of the most promising countries in the world for the cryptocurrency industry. When it comes to the regulation and legalization of crypto assets, the Latin American nation's legislators have made significant progress in recent years.
Since authorizing the creation of several Cryptocurrency Exchange Traded Funds (ETFs), until becoming the next country on the verge of legalizing the use of cryptoassets As a means of payment and investment, Brazil is becoming one of the great leaders of the crypto industry, promoting financial and technological development and innovation.
Accessibility to the Internet and mobile phones, the educational level of Brazilians and initiatives by several local governments, such as that of Rio de Janeiro, to experiment with cryptocurrencies and digital assets, have been driving the use and adoption of crypto assets in the country.
At the end of 2021, the Central Bank of Brazil revealed that Brazilians were investing more than 500 million dollars in cryptocurrencies per month.
However, the rise of crypto assets in the country has also raised concerns among legislators and regulators about the possibility that these digital assets could be used to commit financial crimes and other illicit activities.
Therefore, to minimize the risk and concerns, the Brazilian government has created its new special investigation unit for cryptocurrencies.
Crypto Unit will educate about cryptocurrencies
Prosecutor Meinberg noted that the idea of creating the Crypto Unit arose from the need to warn the population about the risk of cryptocurrencies and to educate them about the safe use of these digital assets, in addition to helping legislators, regulators and government institutions understand this digital world.
To educate about cryptocurrencies and offer the best tools, prosecutors and agents who are part of the new investigative unit of the Public Ministry will begin to interact and experiment directly with cryptocurrencies, to develop and reinforce knowledge and experiences about this rapidly growing ecosystem.
Education is key to understanding the ecosystem
The Crypto Unit gives officers access to three levels of cryptocurrency training, Meinberg explained.
The first level of training covers the use of cryptoassets through centralized exchanges and peer-to-peer (P2P) trading and exchange platforms. The second level covers everything related to the decentralized finance (DeFi) ecosystem, and the third covers the use of cross-chain bridges that are used to move assets between different blockchain networks.
Meinberg said that these trainings are crucial to develop knowledge, both theoretical and practical, about the crypto ecosystem, its products and tools. This will help the agents and prosecutors who form the new unit to understand the industry, to impart knowledge, assist in investigative cases and minimize risks.
During the interview, Meinberg also pointed out the need to educate Brazilians about the cryptocurrency industry. Despite the popularity that cryptocurrencies enjoy in the country, many citizens are still confused about the use of these digital assets and the risks they entail due to “the misinformation spread by digital influencers,” he explained.
The Brazilian Senate approved the Bitcoin Law
Meinberg also spoke about the Bitcoin Law passed by the Brazilian Senate in late April.
The public prosecutor pointed out that through this law, the country will be able to create a solid regulatory framework, with clear rules, that allow the healthy development of cryptocurrencies.
Continue reading: Brazil launches a blockchain to control public spending
