Brazil largest cryptocurrency exchanges joined forces to form a cryptocurrency association with the aim of defending the general interests of their customers. Mercado Bitcoin, Bitcointrade, Foxbit, and others, has create Associação Brasileira de Criptoeconomia (ABCripto) (https://criptoeconomia.com.br/).
The newly created entity aims to open a dialogue with public authorities, as well as to take actions to benefit from technological development and innovation – one of the main characteristics of the crypto-coins and blockchain sector. After all, the crypto derivative market is growing in Brazil, with new companies emerging in the industry, as well as a gradual interest of the end user and the investor community.
A rival association, dubbed Associação Brasileira de Criptomoedas e Blockchain (ABCB) whose goal is to defend the interests of cryptocurrency users is led by Fintech Atlas Project. According to reports from Portal do Bitcoin, the two organizations have opposing views on potential regulations in the cryptocurrency industry, but they believe there is a need for them to work together.
Many of the Brazilian crypto-exchanges have recorded daily enrollment of new users steadily increasing from an average of 500 new users per day to numbers as high as 5000 a day. As a matter of fact, there are more investors buying virtual currencies today than there are in the stock market.
Natalia Garcia, ABCripto’s vice president said that association will reportedly start working with the country’s cryptocurrency exchanges, along with other firms, in “two to three weeks.” Ther goal is to create various categories, so a large number of crypto-related businesses can join it.
Garcia’s Association is set to advocate for cryptocurrencies to be regulated as assets in the country. Garcia revealed it’s currently “looking for regulators so they can tell us the best way to regulate.”
ABCB, on the other hand, hasn’t yet taken a position on how cryptocurrencies should be regulated in Brazil. Per the association’s president, Fernando Furlan, the association will “defend the cryptocurrency markets in Brazil, defend privacy, and regulations that won’t end innovation.”
ABCB is set to become a venue that’ll help guide its partners through a set of principles, while providing regulatory assistance. It’ll connect authorities and regulators to crypto businesses, promoting the debate.
The Brazilian market has lately been experiencing exponential growth in the cryptocurrency space with a steady increase in the purchase of virtual currencies. By the end of 2017, 1.4 million Brazilians engaged in either the purchase or sale of cryptocurrencies.
Despite this, the services provided by the primary Brazilian exchanges are deficient, and they are receiving countless basic complaints by users. The most frequent user complaints include lack of approval of new registrations, a delay in deposit approval, limited coin diversity, high rates in comparison to international offerings, and delays in withdrawal requests.
Having identified these problems, a team of developers set out to develop a platform designed to efficiently adjust to markets demand without compromising the primary user experience.
CriptoHub (https://ico.criptohub.com.br/pt/) identified an opening in the Brazilian market for a well-structured exchange that can solve the aforementioned issues by providing a more effective, cutting-edge service with a greater diversity of currencies and uncomplicated withdrawals.