The Brazilian securities Commission and exchange (CVM) decided to cease trading in securities associated with mining operations.
As reported by CoinDesk, the Brazilian regulator said that the services and methods of attracting customers which uses a mining project HashBrasil violate the legislation on securities. In a statement released February 28, said:
“The Department determined that the company and the person referred to above, publicly offer the possibility of investing in the investment group HashBrasil involved in bitcoin mining. Potential investors are invited to conclude contracts, which legally fall under the definition of securities”.
The Commission on securities and exchange Commission has threatened to fine operators HashBrasil in the amount of $1,500 for each day of failure to fulfill the requirements on the termination of activity.
However, the team HashBrasil responded immediately. In a message posted on Facebook the next day after the statement CVM, representatives HashBrasil announced that the company has temporarily ceased its operations due to this publication.
Recall that in the past the country’s Central Bank negative perception about cryptocurrency. So in October of last year, the head of the Central Bank Goldfine Ilan (Ilan Goldfajn) said that bitcoin is a pyramid scheme.