Brazilians Will Be Able to Pay Taxes With Crypto – In terms of usability, cryptocurrency is making advances in Brazil. Banco do Brasil, one of Brasil’s oldest banks and partly owned by the Brazilian government, has provided the possibility for Brazilians to pay state taxes with cryptocurrencies via its platform. According to sources, the bank is using Bitfy, a cryptocurrency payments processor, as a bridge to execute these payments.
The company promotes their solution as the first of its type, claiming that the use of blockchain technology will improve public procedures by increasing transparency and trustworthiness. Lucas Schoch, CEO and founder of Bitfy, stated: “We will drive the adoption of the new defi economy, developing the necessary infrastructure to increase autonomy and democratize the use and access to the digital asset ecosystem throughout Brazil.”
Bitfy, which received an investment from Banco do Brasil in November with the goal of integrating tokenization and payment services into its portfolio, has announced the cryptocurrency lineup that will be accepted for these payments. Bitcoin, ethereum, decentraland, chainlink, algorand, solana, ripple, polkadot, avalanche, dash, and binance coin are among those that must be put on the app wallet before they can be used.
This development is made possible by Bitfy’s collaborations with government organizations, which have expanded the reach of its tax payment solutions nationwide. The method of paying taxes with this tool will comprise entering a payment number or scanning a barcode for the payment, which will be promptly processed by Bitfly, exchanging cryptocurrencies for Brazilian reals and transferring them to the institutions.
Following the recent approval of a cryptocurrency law that allows for the integration of digital assets in more financial transactions in Brazil, the announcement brings a new purpose for cryptocurrencies in the country. Binance is also attempting to get a foothold in the country’s crypto payments market, having announced the introduction of a prepaid crypto card in January as part of its Latam expansion effort.