According to Bitcoin.com, Fábio Araújo, an adviser to the Department of Financial System Regulation (Denor) of the Central Bank of Brazil, said at a hearing in the Brazilian Congress on the stablecoin regulatory framework PL 4308/2024 that stablecoins are different from digital assets such as Bitcoin and Ethereum, and that when they have the characteristics of a payment instrument, they should be understood as a monetary instrument. Abcripto, the Brazilian crypto economy association, opposes this classification, saying that it may trigger regulatory conflicts, affect the adoption of stablecoins at the institutional and retail levels in Brazil, and create barriers for virtual asset service providers (VASPs). Bitcoin.com also said that the Central Bank of Brazil has recently issued a new resolution, aligning the regulatory treatment of VASPs with that of institutions such as securities brokers and distributors, which could drive industry consolidation.

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