Catenaa, Friday, June 20, 2025- A Brazilian congressman has introduced a bill that seeks to eliminate income tax on long-term cryptocurrency holdings, aiming to boost financial sovereignty and encourage Bitcoin adoption as a strategic asset.
Eros Biondini, a federal deputy and outspoken advocate for digital assets, filed the draft legislation last week in the Chamber of Deputies.
The proposal seeks to repeal existing tax provisions targeting crypto profits and nullify a 2023 law that formalized taxation on digital assets.
The bill, if approved, would exempt long-term holders of Bitcoin and other cryptoassets from capital gains tax. It also includes provisions to protect the rights of citizens to self-custody their coins without third-party wallets, enhancing personal ownership.
Biondini criticized Brazil’s rising tax burden, noting it reached 32.32% of GDP in 2024, the highest in 15 years.
He warned that additional financial transaction taxes could damage the economy and stifle innovation in digital finance.
The legislation must first pass a committee review before advancing to the full Chamber, the Senate, and potentially the President’s desk. Both the Senate and the President have veto power.
This is not Biondini’s first pro-crypto initiative. In 2024, he introduced a bill proposing the creation of a national Bitcoin reserve, suggesting that 5% of Brazil’s $372 billion in foreign reserves be converted to BTC.
On social media, Biondini urged crypto users and lawmakers to support the bill, claiming Brazil is “penalizing” savers instead of embracing a future-forward financial model.
