Huge Update! Bitcoin is all set to become a legal tender in Brazil!

In Brazil, the acceptance of Bitcoin as a legal mode of payment is on the horizon. Brazil's Federal Deputy Aureo Ribeiro revealed that the residents of Brazil might soon buy McDonald's using Bitcoin. The country is preparing a cryptocurrency regulation bill which is expected to be presented to the Plenary of the Chamber of Deputies within the next few days. This bill is said to allow bitcoin to be used for all manner of transactions, large and small.

Earlier this week, IMF warned about the consequences of 'cryptoization'- transferring the economy completely to digital assets and stopping the use of local currencies. Brazilian authorities say that the residents are facing several issues while purchasing, selling, and transferring funds online since everything is being converted to bitcoin. Therefore, this measure is taken to provide the citizens with easier methods for transactions.

Regulations will play a big role

The latest regulatory amendments increase the size of the fines by two-thirds of the amount of the laundered money, from one-thirds. The bill also proposes to raise minimum prison terms from three to four terms, and increase the maximum prison terms from 10 years to 16 years and eight months, in addition to a fine.

The idea behind these propositions is to make better and regulated use of cryptos, amidst fraud and online thefts to make consumers feel more confident while using bitcoin for everyday activities.

Ribeiro says that he is optimistic about the other aspects of the bill, which regulates broader cryptocurrency operations such as trading, custody, fiat exchanges, and payments. Brazil has shown signs of potential growth when it comes to embracing cryptocurrency and has performed well in the crypto market by reshaping local regulations.

Brazil's take on tougher regulations might prove as a more successful implementation than the other nations like El Salvador, Bahamas, and Nigeria. Interests are running high for other countries as well and the United States is one of them.