This Brazilian bill is pretty harsh, directly freezing balances. Will on-chain activities in the future require background checks first?

According to Livecoins, Brazilian Federal Deputy Kim Kataguiri has submitted Bill 2796/2026 to the House of Representatives, aiming to amend the country’s anti-terrorism law and allow judicial authorities to freeze the balances of those under investigation on cryptocurrency trading platforms. The report says that if the bill is approved, individuals linked to terrorist or extreme violence organizations will not be allowed to send or receive funds on the platforms without explicit court authorization. The measures are intended to cut off their funding sources.