The rise of crypto assets in recent years has challenged governments and financial institutions to develop regulatory frameworks that ensure market integrity and investor protection. We will examine the regulatory approaches adopted by different countries, with a focus on MiCA (Markets in Crypto-Assets) in the European Union, and analyze how these experiences may influence the regulatory landscape of crypto assets in Brazil.
According to a Triple-A report, Brazil ranks 6th in the world for cryptocurrency adoption. Therefore, understanding how cryptocurrencies work and the legislative advancements on this topic is becoming increasingly important for professionals in all fields, including law.
International Regulatory Approaches
European Union: MiCA
The European Union (EU) implemented the Markets in Cryptoassets Regulation (MiCA), which came into effect on December 30, 2024, establishing a pioneering regulatory framework for cryptoassets. In short, MiCA aims to increase control over companies that manage cryptoassets, protecting investors against potential fraud and promoting transparency in the market.
Companies wishing to operate in the European cryptocurrency market must register with the relevant authorities in each country, such as the National Securities Market Commission (CNMV) in Spain, and comply with specific requirements to ensure consumer protection. However, one issue that has raised debate is that in some countries, such as Portugal, there is still no formally established competent authority, which can lead to legal uncertainty.
Furthermore, MiCA classifies crypto assets into 3 categories:
- Asset-referenced tokens (ARTs): These are stablecoins backed by assets such as currencies, commodities, or cryptocurrencies.
- Electronic Money Tokens (EMTs): These are stablecoins pegged to a single fiat currency, aiming for stability similar to traditional electronic money.
- Other crypto assets: These include utility tokens and other digital assets that are not stablecoins, with lighter regulatory requirements under MiCA.
United States: Regulatory Approach and Cryptoasset Adoption
In the United States, the regulation of crypto assets is conducted by several federal agencies, most notably the Securities and Exchange Commission (SEC). Recently, the agency announced the creation of a "task force" focused on creating clearer and more robust regulations in the country as soon as possible, precisely to ensure greater legal certainty for this market and its proper supervision.
Furthermore, states like New York have implemented their own regulations, such as the BitLicense, which establishes requirements for companies operating with crypto assets.
As one of his first acts after taking office in 2025, President Donald Trump signed an executive order to establish a strategic reserve of bitcoins, using approximately 198.000 bitcoins confiscated by the Department of Justice. This measure aims to position the country as a leader in the cryptocurrency market and provide liquidity during potential financial crises, and it was the first time these assets were recognized as a strategic reserve in the country.
Japan: Pioneering in Regulation
Although little is said about it, Japan was one of the first countries to recognize and regulate cryptocurrencies, establishing legislation in 2017 that recognizes Bitcoin and other cryptocurrencies as legitimate forms of payment. Cryptocurrency exchanges in Japan are required to register with financial authorities and comply with strict compliance and security requirements, aiming to protect investors and ensure the integrity of the financial market.
El Salvador and the Central African Republic: Official Adoption of Cryptocurrencies
El Salvador has become a landmark in the new era of crypto assets by adopting Bitcoin as legal tender in 2021, allowing the cryptocurrency to be used for everyday transactions and investments in the country. This initiative aims to promote financial inclusion, attract foreign investment, and also serve as a tourism marketing tool for the country.
The country even went so far as to issue public debt bonds in Bitcoin, which caught the attention of the International Monetary Fund and the market as a whole, who do not necessarily view these facts favorably.
Expectations and lessons for Brazil
Brazil has made progress in creating a regulatory framework for crypto-assets. Law No. 14.478/2022 , enacted in December 2022, established guidelines for the provision of virtual asset services and the regulation of service providers, and was an important initial step to further foster debates on the regulation of this market. In the law, the Central Bank of Brazil (BCB) was designated as the authority responsible for the regulation and supervision of this market.
Additionally, in June 2023, Decree 11.563/23 regulated the legal framework for crypto-assets, assigning to the Central Bank of Brazil (BCB) the authority to regulate, authorize, and supervise virtual asset service providers. The expectation is that the BCB will conclude the regulation of the cryptocurrency market by mid-2025, aiming to improve governance, security, and trust in the country's crypto-asset market.
Furthermore, Brazil has seen a significant increase in the use of stablecoins, which account for approximately 90% of cryptocurrency transactions in the country, as they represent a more "stable" value compared to other cryptocurrencies. Brazilian companies are leveraging this market growth, seeing the adoption by Brazilians as an opportunity.
Lessons for Brazil
By analyzing international regulatory approaches, Brazil can draw valuable lessons for the development of its own regulatory framework, among which we can highlight:
- Regulatory Harmonization and ClaritySimilar to MiCA in the EU, uniform regulation that prevents market fragmentation and provides legal certainty to participants is important for the development of the market in the country.
- Consumer Protection and TransparencyImplementing measures that ensure the transparency of operations and the protection of investors, such as establishing obligations for exchanges, is essential to strengthening confidence in the cryptocurrency market.
- Encouraging InnovationBalancing consumer protection with the promotion of innovation is crucial. Overly restrictive regulations can stifle technological development and discourage investment. Therefore, the Brazilian regulator faces a challenge in balancing regulation and innovation.
- Adaptation to Local SpecificitiesConsidering the specific characteristics of the Brazilian market, including those already applied to traditional financial institutions, and adapting international best practices to the national context is fundamental for effective regulation.
Conclusion
The regulation of crypto assets is a global challenge that requires collaboration between governments, financial institutions, and market participants. Brazil, like many other countries, is making progress in building a regulatory framework that seeks to balance consumer protection, market integrity, and the encouragement of innovation.
By learning from international experiences and adapting best practices to the local context, the country can position itself as a benchmark in the regulation of crypto-assets, promoting a safe environment conducive to technological and economic development.
References
BRAZIL. Decree No. 11.563, of June 13, 2023. Regulates Law No. 14.478, of December 21, 2022, which provides guidelines for the provision of virtual asset services. Available at: https://www.planalto.gov.br/ccivil_03/_ato2023-2026/2023/decreto/d11563.htm. Accessed on: April 6, 2025.
COINBASE. What is MiCA (Crypto Asset Markets in Circulation)? Available at: https://www.coinbase.com/pt-br/learn/your-crypto/what-is-mica-markets-in-crypto-assets-regulation. Accessed on: April 6, 2025.
CNN Brazil. Bitcoin: understand what the strategic reserve announced by the US is. Available at: https://www.cnnbrasil.com.br/economia/macroeconomia/bitcoin-entenda-o-que-ea-reserva-estrategica-anunciada-pelos-eua/. Accessed on: April 6, 2025.
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MIGALHAS. Japan: evolution of crypto regulation and current tax treatment. Available at: https://www.migalhas.com.br/coluna/criptogalhas/415109/japao-evolucao-da-regulacao-cripto-e-atual-tratamento-tributario. Accessed on: Apr. 6, 2025.
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VALOR ECONÔMICO. Brazilian companies take advantage of the stablecoin boom for international expansion. Available at: https://valor.globo.com/financas/criptomoedas/noticia/2025/03/28/empresas-brasileiras-aproveitam-boom-de-stablecoins-para-expansao-internacional.ghtml. Accessed on: April 6, 2025.
