Brazil's crypto regulatory environment is driving competitiveness — CEO of Coinext
Cryptocurrency may be "out of fashion", but it still draws new users to Web3 every day, in particular in emerging markets such as Brazil, according to Bitcoin maximalist José Ribeiro, CEO of crypto exchange Coinext.
During the Web Summit in Lisbon, Ribeiro discussed with Cointelegraph's Joe Hall Bitcoin's perspectives, Brazil's vibrant crypto economy and how regulatory clarity has boosted competition in the country's payments sector.
According to Ribeiro, the Bitcoin volume transactions in Brazil will reach a record level in 2023, as more global crypto exchanges set operations there, such as Binance, OKX, and Coinbase.
"The competitiveness has increased considerably, which is part of the business from a crypto adoption perspective. The country has a history with inflation, and I see that interest rates are going to be down next year for sure, and we're going to have another cycle," states Ribeiro.
The benchmark interest rate in Brazil is currently 12.25%, down from 12.75%, and may reach 9.25% by December 2024, according to a recent survey by the local central bank.
Alongside a perspective of lower interest rates in Brazil, global drivers, such as the approval of a spot Bitcoin ETF in the United States and the Bitcoin halving, are expected to affect prices. However, the crypto community should focus on fundamentals rather than price movements, according to Ribeiro.
In addition, Ribeiro emphasized the importance of regulatory frameworks in boosting innovation in the country. "We are very advanced in terms of forms to comply with the tax authorities," said Ribeiro, referring to the monthly reports filed with the local tax authorities on transactions carried out on the exchanges.
According to Coinext CEO, Brazilian regulators are
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