Articles
Crypto Market Analysis

Brazil passes law allowing seized crypto to be used for public security

User Image

Von Anonym

Erstellt March 26, 2026|2 Minuten Lesezeit
Main Image

Aimed at fighting organized crime groups, the new law allows confiscated assets including crypto to be used for ”police re-equipment, training, and special operations.”

Brazil’s public security agencies have a new weapon for fighting organized crime after national legislators approved a measure allowing them to use confiscated cryptocurrency in their efforts.

On Wednesday, Brazil’s legislative branch published Law No. 15.358, establishing a legal framework for combating organized crime. The law allows authorities to prohibit transactions on crypto exchanges by treating digital assets as instruments in a crime, and confiscate crypto to be used to fund public security.

“For the purposes of forfeiture of assets, any asset that has been used to commit a crime shall be considered an instrument of the crime, even if it was not intended exclusively for that purpose,” said a translation of the law, which included:

Notably, the law would authorize Brazil to coordinate and cooperate with international authorities for investigation and asset recovery, including in cases potentially involving digital assets. With a population of more than 213 million, many of whom use crypto, the legislation could have significant implications for the Brazilian government’s war chest.

Related: Brazil's Pix instant payment system expands to Argentina

The signing of the law followed reports that Brazil’s Finance Minister, Dario Durigan, planned to delay talks on changing the country’s tax policy on crypto. According to reports, Durigan aimed to avoid divisive changes to tax policy, and would push discussions until after Brazil’s presidential election in October.

In 2025, the Brazilian Federal Police’s Operation Lusocoin targeted a laundering and foreign exchange evasion architecture of massive scale, according to TRM Labs. Authorities estimate that the network moved tens of billions of Brazilian reais through a web of shell companies, OTC crypto brokers, and non-custodial wallets.

In contrast to countries like the US, where crypto seized as part of criminal cases could be used to bolster a national digital asset stockpile, Brazil’s law would divert the funds to public security measures like police training. However, Brazil’s government discussed a proposal to create a national Bitcoin (BTC) reserve in August 2025.

The BTC reserve bill, initially introduced in 2024, could allow Brazil to allocate up to 5% of the country’s treasury to purchase Bitcoin. In February, lawmakers reintroduced the legislation, expanding its scope to allow for the purchase of up to one million BTC. It was unclear as of March if the bill would have enough support to pass in the future.

Magazine: Nobody knows if quantum secure cryptography will even work

Source: CoinTelegraph


Andere kürzlich veröffentlichte Artikel

Bitcoin’s calm is back and so is the setup for a volatility explosion
Bitcoin’s calm is back and so is the setup for a volatility explosion

Bitcoin

Bitcoin’s daily price swings have tightened to their narrowest since January, making clean trades ...

Quantum Solutions, Hyperscale Data tap crypto treasuries to fund AI data centers
Quantum Solutions, Hyperscale Data tap crypto treasuries to fund AI data centers

Ethereum

The firm’s board raised the sale cap to 4,375 ETH through Oct. 30, nearly 66% of June holdings, al...

New York sues Kalshi, alleges it offers a gambling platform 'plain and simple'
New York sues Kalshi, alleges it offers a gambling platform 'plain and simple'

Casino

The suit wants to bar the company from operating what it says is an unlicensed gambling business and...

XRP Ledger upgrade brings back features once pulled over critical bugs
XRP Ledger upgrade brings back features once pulled over critical bugs

Crypto Market Analysis

The xrpld 3.3.0 release is expected next week with five proposed amendments, including two revised f...

Binance founder CZ calls for wallet diversification after $70 million Coldcard exploit
Binance founder CZ calls for wallet diversification after $70 million Coldcard exploit

Crypto Market Analysis

Binance founder Changpeng Zhao says hardware wallets can still have bugs and suggests spreading fund...

Bitcoin ETFs end July in the green despite late-month selling
Bitcoin ETFs end July in the green despite late-month selling

Bitcoin

Spot Bitcoin ETFs attracted $172.4 million in July inflows but remained $5.3 billion negative year t...