The Brazil National Congress has received a bill prompting the legalization of salary and remunerations in Bitcoin and cryptocurrencies.
Luiz Phillipe of Orleans-Braganza, Sao Paulo’s former federal deputy, has submitted a bill to the Congresso Nacional de Brazil seeking the legalization of Bitcoin payments. The prominent politician filed for the legislature to create a mandate allowing workers in the South American nation to receive salaries and labor rights in cryptocurrencies.
Brazil to Consider Another Pro-Crypto Law
According to local media Livecoins, Phillipe presented the bill on Friday, March 14, seeking a rule change from the Brazilian National Congress. The proposal aims to allow workers to collect up to 50% of their wages and entitlements in digital assets.
Notably, the bill does not mandate accepting Bitcoin; rather, it gives legal grounds for residents seeking exposure to the nascent technology. Upon agreement with the employer, employees would resume receiving labor rights in Bitcoin and can terminate the payment method at will.
Meanwhile, the bill stated that 50% of salaries would remain in the Brazilian real (R$) to sustain the currency’s utility. However, as overseen by the Brazilian Central Bank, this does not apply to freelancers, expatriates, or self-employed workers.
Notably, the proposal would require a plenary from the Chambers of Deputies and majority consent to pull through to the Federal Senate, which would finally decide on the bill.
Bill to Enhance Brazil’s Digital Asset Competitiveness
Phillipe insisted the bill would further place Brazil as a global digital asset hub amid a broader adoption of the nascent industry. He suggested this would attract foreign technological investments into the country and give employees autonomy and options in receiving their labor rights.
Meanwhile, the proposal mirrors a broader friendly stance towards digital assets in Brazil. With its clear regulatory framework, the South American country has created a conducive environment for virtual asset operators, with Binance recently receiving a broker license.
Notably, Brazil is not the first country to consider Bitcoin as a means of salary and remuneration payment. An Argentine lawmaker also introduced a similar bill in 2021. Moreover, a United Arab Emirates (UAE) court recently recognized salary payments in the pioneering cryptocurrency amid growing global adoption.
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