The post Brazil Moves to Ban Unbacked Stablecoins appeared first on Coinpedia Fintech News Brazil’s congressional committee has approved Bill 4,308/2024 to strengthenThe post Brazil Moves to Ban Unbacked Stablecoins appeared first on Coinpedia Fintech News Brazil’s congressional committee has approved Bill 4,308/2024 to strengthen
Brazil Moves to Ban Unbacked Stablecoins
The post Brazil Moves to Ban Unbacked Stablecoins appeared first on Coinpedia Fintech News
Brazil’s congressional committee has approved Bill 4,308/2024 to strengthen stablecoin oversight. The law requires all stablecoins to be fully backed by reserves, banning unbacked tokens like Ethena’s USDe and Frax. Issuers of unbacked coins could face up to eight years in prison, and exchanges handling foreign stablecoins such as USDT and USDC must follow strict compliance and risk rules. This move is set to reshape Brazil’s crypto market.
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