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Why Has Brazil’s Central Bank Included Crypto Assets in Trade Balance?

Published 09/23/2019, 08:38 AM
Updated 09/23/2019, 09:01 AM
Why Has Brazil’s Central Bank Included Crypto Assets in Trade Balance?
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Cross-border transactions on crypto assets are already relevant and have already had a considerable impact on the domestic economy of some countries. For example, last month, the Central Bank of Brazil (BACEN) reviewed the Brazilian Trade Balance for crypto assets with new classifications under IMF standards.

In Georgia, for example, which accounts for about 15% of global Bitcoin (BTC) mining, companies receive an estimated $700 million from Bitcoin mining annually. This represents about 5% of the country’s GDP, or 10% of exported goods and services.

  • BLCAs, which are blockchain-based crypto assets designed to function as a trading instrument such as Bitcoin, Ether, EOS, Stellar and Litecoin.
  • Crypto assets that are not BLCAs (i.e., digital tokens).
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