Huge Number of Institutions Declaring Cryptocurrency Holdings Registered in Brazil

• by Artem
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• October 10, 2022
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• Cryptocurrency News

In August, Brazil saw a huge number of businesses and organizations declare their possession of cryptocurrencies. The numbers, which are obtained directly from the Brazilian Tax Authority (RFB), reveal that more and more institutions are keen to buy cryptocurrencies and that Tether’s stablecoin usdt is used to transfer the largest amounts.

Due to particular issues with their economies, Latam countries are attracting institutions to hold cryptocurrency. Recently, a record number of these organizations have declared possession of cryptocurrencies, per the Brazilian Tax Authority (RFB). According to the numbers supporting the claims made in August, more than 12,000 Brazilian businesses admitted holding cryptocurrency in their treasury.

This indicator increased from the number of businesses declaring to use cryptocurrency in July (11,360). However, individuals’ statements did slow considerably in August compared to July, with 35,000 fewer statements recorded. More than 1,300,000 people claim to hold some sort of cryptocurrency as part of their assets; therefore, this metric is still vital.

In order to provide a window into the development and direction of the market, the Brazilian Tax Authority (RFB) updates the market each month on changes in the number of necessary disclosures about the ownership of cryptocurrencies. One of the most famous tokens in the nation, at least in terms of value transfers, is USDT, a Tether-issued stablecoin tied to the dollar. In August, 79,836 activities totaling more than $1.4 billion with an average value of about $18,000 per were conducted using USDT.

Bitcoin outpaced USDT when comparing the number of transactions within the same period. In August, more than 2.1 million Bitcoin transactions were completed. The amount of money involved was considerably less, with each transaction averaging nearly $130. BRZ, the first Brazilian real-pegged stablecoin, also had a lot of activity along with ETH and USDC, another dollar-pegged stablecoin.

Since the Brazilian Tax Authority also announced a record number of individual cryptocurrency ownership declarations in July, these numbers denote that the nation’s cryptocurrency sector is expanding at an accelerated rate. Several fintech firms, such as Picpay and Nubank, as well as conventional banks, including Santander, have announced their plans to add cryptocurrency services to their portfolios.