Brazil sees record number of institutions declaring cryptocurrency holdings

Brazil sees record number of institutions declaring cryptocurrency holdings

The figures, which come directly from the Brazilian tax authorities (RFB), show that more and more institutions are eager to buy cryptocurrencies and also show that the largest volumes are being moved using usdt, Tether’s stablecoin.

Institutions hold more cryptocurrencies in Brazil

Institutions are attracted to holding crypto in Latin American countries because of the specific problems in their economies. Recently, the Brazilian Tax Office (RFB) registered a record increase in the number of such institutions claiming to hold some form of cryptocurrency. The figures, which match the August announcements, show that more than 12,000 Brazilian companies admit to holding cryptocurrencies as part of their cash flow.

This figure is up from the number of businesses that reported holding cryptocurrencies in July (11,360). However, the declarations by individuals registered a delay compared to July, and in August they were 35,000 declarations less. However, this figure remains high, with over 1,300,000 individuals reporting having some form of crypto in their wealth.

Each month, the Brazilian Tax Administration (RFB) notifies the market of movements in the number of mandatory declarations regarding the holding of crypto to provide an insight into the development and direction of the market.

USDT, the dollar-denominated stablecoin issued by Tether, is one of the most widely used tokens in the country, at least in terms of value moved. More than $1.4 billion was transferred using USDT in 79,836 transactions in August, with an average amount of nearly $18,000 per transaction.

However, Bitcoin beat USDT when comparing the number of transactions made during the same period. Over 2.1 million BTC transactions were made in the month of August. However, the amount of money involved was much smaller, reaching an average amount of almost $130 per transaction. BRZ, the first stablecoin denominated in the Brazilian Real, also saw significant levels of movement, along with the Euro. ETH and USDC, another stablecoin pegged to the dollar.

These figures show that the cryptocurrency market is growing in the country at an accelerating pace, considering that in July Brazilian tax authorities also registered a record number of declarations of ownership of individual cryptocurrencies. This has led many fintech companies such as Picpay and Nubank and even traditional banks such as Santander to announce their intention to include cryptocurrency services in their portfolio.

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