Brazil Discusses Bill to Ban Algorithmic Stablecoins, Impacting ENA and Others

Brazil is advancing discussions on Bill 'PL 4308/2024', which aims to prohibit the issuance and trading of algorithmic stablecoins. The bill has been approved by the Committee on Science, Technology, and Innovation and will next be reviewed by two other committees before being sent to both the lower and upper houses of Congress. Algorithmic stablecoins are cryptocurrencies that do not hold assets like the US dollar as collateral but instead use a unique program (algorithm) to automatically adjust the supply to stabilize the price (in the case of being pegged to the US dollar, at one dollar). A typical example includes those based on the Ethereum (ETH) platform and involved in DeFi...