- 16 August 2022
- Posted by: Cryptovalues
- Category: Central Banks, Cryptovalues News
In April, Brazil laid the legal foundations to give official status to a very developed phenomenon and to create regulatory boundaries that would allow the crypto industry to have the foundations on which to grow. There were also plans to create the ideal infrastructure to promote mining, as well as the possibility of exempting it from taxes.
The regulation of the crypto industry in the South Sudamercan state represents a further step forward by a country that a year ago approved several bitcoin-based ETFs, proving to be a forerunner in this form of investment. We recall the resounding success of the first cryptocurrency ETF launched on the market, which, at the time, raised a countervalue of around $112 million, becoming the fifth largest Brazilian ETF.
In this context, Santander Brazil, a unit of Spanish banking giant Banco Santander, will offer cryptocurrency-related services to institutional and private clients in the coming months.
But it is not the only credit institution exploring cryptocurrency trading, since two weeks The Brazilian broker XP confirmed this week that it plans to extend cryptocurrency trading to its customers by mid-August.
Finally, not to be overlooked is the resounding success of Nubank, which has reportedly already surpassed the 1 million customer threshold for its crypto services.
Santander stated in a blog post:
“Blockchain is making great strides and many praise its many applications in different fields, from finance to medicine to the environment”.
But come statements from the Bank’s Brazilian CEO Mario Leao to reiterate the point:
“We recognise that this is a market that is here to stay, and our approach is not due to a reaction to the positioning of competitors, but rather to a new vision and a desire to respond to the demand of our customers. So we have to find the right and most educational way to offer this market”.
As to when the project will concretely see the light of day, Leao added:
“We expect that in the coming months we will be able to define everything in detail. We hope to be operational at the same time as the next release of quarterly results, but hopefully even sooner”.
Brazil remains in Latin America in the light of what has been happening over the past year a kind of forerunner in this form of investment, and Brazilians are one of the most evolved populations, so much so that they constantly request it from banking institutions.