PANews reported on June 6 that according to Bitcoin.com, the Brazilian government is considering imposing taxes on cryptocurrency transactions to ease the social impact of the increase in the financial transaction tax (IOF). After the government announced an increase in the IOF tax rate on May 22, House Speaker Hugo Motta proposed in a public speech to include cryptocurrencies in the tax scope, but emphasized that the proposal has not yet been finalized.

This proposal has sparked controversy in the Brazilian crypto industry. Vanessa Butalla, vice president of legal affairs at Mercado Bitcoin, pointed out that according to the current regulations of the Brazilian Tax Bureau, the imposition of IOF on cryptocurrencies is equivalent to taxing investment properties and lacks legal basis. Daniel de Paiva Gomes, partner of Paiva Gomes Law Firm, further emphasized that only legislation by Congress can include cryptocurrencies in the taxable asset category, and the government only has the right to adjust the tax rate and period.