Brazil’s Antitrust Agency Reuters, Launches Probe Into Big Banks On Cryptocurrency Trade

Brazil’s Antitrust Agency Reuters, Launches Probe Into Big Banks On Cryptocurrency Trade

On September 18 according to a Reuters report, Brazil’s antitrust regulator investigating six national major banks for allegedly practicing monopoly in the cryptocurrency space.

The Economic Defense Administrative Council (CADE), which is the Brazil’s antitrust regulator, that functions from the order of the Justice Ministry (MJ), on Tuesday, purportedly has released a probe to investigate if the nation’s biggest banks locked the brokerages’ accounts exchange in Bitcoin.

The Reuters report

From the Reuters report, the CADE’s investigation was launched under the Blockchain of Brazil and Crypto Association’s (ABCB) request followed by a number grievances. One grieved that Banco do Brasil block the account of a local cryptocurrency exchange platform Atlas Quantum.

With the continuing probe, the Economic Defense Administrative Council will investigate huge listed banks including Banco Santander Brasil, Banco do Brasil, Holding of Itaú Unibanco and Banco Bradesco. They will also inspesct unlisted banks such as Banco Inter and Sicredi cooperative bank.

Reuters report states that, the big banks are putting restrictions and even denying accessing to the financial process by crypto brokers. Statements from the banks say that the brokers’ accounts were locked because of the absence of client information which is needed by the national anti-money laundering regulations.

Antitrust restrictive precautions

Antitrust professionals told Reuters that they should avoid illegal transactions and banks should take restrictive precautions when there are signs of crimes done by their account holder. However, it does not look reasonable for banks to apply restrictive precautions a prior on a straight-line basis to all crypto firms without testing the stage of compliance and anti-fraud precautions inherited by individual brokerage companies.

After the probe announcement, the largest bank by assets in Brazil and Latin America, Banco do Brasil, told Reuters that the firm is very committed to competitive practices based on respect and ethics for free competition. Itaú Unibanco mentioned that it is pretty confident that its conduct will be considered legal and legitimate.


Please enter your comment!
Please enter your name here