CRYPTOCURRENCIES AND STATE REGULATION: BETWEEN ECONOMIC FREEDOM AND NATIONAL SOVEREIGNTY

Abstract

Brazil, like other global nations, faces adverse consequences due to the lack of more comprehensive and consolidated legal structures that guide the cryptoactive market. This market emerged with the advent of new technologies and tends to be increasingly integrated into routine transactions throughout the financial system. This gap amplifies and facilitates the use of the cryptoactive market for money laundering. On the other hand, Bill 4,401/2021, the result of the merger of several other bills originating from the two legislative houses of the Union, aims to regulate the topic in a more comprehensive and specific manner in Brazil. It can offer tools and mechanisms to effectively combat the crime of money laundering, as well as other crimes related to the use of cryptoactives, becoming more effective in the country. This establishes the initial path towards more comprehensive legislation, understanding most of the nuances related to the topic. This work offers an overview of the evolution of the cryptoactive market in Brazil and around the world, highlighting attempts at regulation, presenting a descriptive and critical analysis of this process, with a special focus on PL 4.401/2021.