B3 CEO Gilson Finkelsztain attacked cryptocurrency brokers in an interview with a Brazilian news portal, claiming they don’t follow rules.
In Brazil, cryptocurrency brokers are companies that act in the intermediation of negotiations between people, making markets available to clients. There are more than 20 brokers operating in the Brazilian crypto market, offering trades in several pairs of cryptocurrencies.
Only in Bitcoin, for example, these operations moved R$ 9,735,582,635.27 in the last month of October. In other words, there is great investor interest in this market, which already has more than 2 million investors.
With a market already registering expressive volumes of transactions, the Federal Revenue issued Normative Instruction No. 1.888 in 2019, which establishes that all companies in the sector provide information. This obligation was even remembered by a tax auditor in a recent public hearing that discussed the topic.
In addition, Brazilian brokers already report suspicious transactions made by their clients to COAF, in addition to collaborating with investigations and various other control bodies. But all this was ignored by the CEO of B3, who harshly criticized these platforms.
B3 CEO on cryptocurrency brokers: “they don’t follow regulation and are more expensive for users”
With the cryptocurrency market on the rise in Brazil, B3 has already listed some products in its portfolio linked to this market. According to Gilson Finkelsztain, around 160,000 customers are already trading Bitcoin ETFs and cryptocurrencies on the Brazilian stock exchange, a reality that he hopes will grow soon.
However, questioned by Seu Dinheiro about a possible competition between B3 and cryptocurrency brokers, he denied this relationship and even delivered harsh criticism to the sector.
In his view, cryptocurrency brokers do not follow regulation, something that would put investors at risk. In addition, he said the costs of operating cryptocurrencies on these platforms are much higher for customers, with much less protection.
He said he hopes to launch cryptocurrency derivatives on B3 yet, which would be more options for investors to indirectly expose themselves to the sector.
B3 will tokenize assets
Several companies operating in Brazil already work with asset tokenization, such as Liqi, for example, which created the Cruzeiro token, Coritiba, among others.
With this market linked to the theme of decentralized finance (DeFi), Finkelsztain said that he is not interested in working with the tokenization of shares, as he believes it is already easy to buy shares from companies on the stock exchange.
However, he believes that tokenizing a work of art, car and even real estate can be interesting, with B3 looking to enter this sector.
After attacking the cryptocurrency brokers, the CEO of B3 acknowledged that they have brought innovations to the financial sector, owing the company, which is also listed on the stock exchange, to learn from what has already been done. His biggest concern, however, is the lack of rules in the cryptocurrency industry, which can lead to people losing money, according to Gilson.