Brazilian bank Banco do Brasil and crypto firm Bitfy will enable Brazilian taxpayers to pay their taxes using cryptocurrencies. Banco do Brasil is the country’s oldest bank and among the world’s oldest functioning banks.
Under the partnership, Bitfy will act as the bank’s “collection partner,” allowing users with crypto on the Bitfy platform to use their assets to settle tax dues.
Multiple cryptocurrencies will be available for use to pay taxes. According to Banco do Brasil, the process is as simple as paying for a ticket by scanning a barcode.
Banco do Brasil said the feature will bring convenience to taxpayers and expand the public sector’s options for receiving taxes.
Bitfy founder and CEO Lucas Schoch said:
“This partnership makes it possible to expand the use and access to the ecosystem of digital assets with national coverage and with the seal of security and reliability of Banco do Brasil.”
The development comes after the city of Rio de Janeiro started accepting tax payments via cryptocurrencies in October 2022.
In December 2022, Brazil passed a law legalizing the use of cryptocurrencies for payments. The law is expected to come into effect in June 2023.