Two Brazillian crypto exchanges shut down due to tax rules

As crypto adoption continues to spread, and
people from all nations across the world are using digital currencies, a lot of
countries have moved to create tax rules even before drawing regulatory
frameworks for the new asset class. Brazil is one such country, and its tax
regulations were already implemented even before the dedicated legislation was
officially adopted.

Now, the new tax rules had hit not only its crypto users but also businesses such as crypto exchanges. Two trading platforms — Latoex and Acesso Bitcoin — have recently had to shut down due to such rules, as digital asset brokers failed to comply with the requirements.

As a consequence of not respecting the new
reporting requirements, the exchanges faced fines, while the strict rules
continue to hurt numerous platforms, especially those with low trading volume.

Compliance cost is too high for
smaller exchanges

Acesso Bitcoin pointed out that the new
situation has damaged trading volumes even more, and the market…