Cryptocurrency is being acknowledged and integrated into the international legal and economic system. The National High Court of Brazil (STJ) issued a landmark decision establishing that crypto could be seized as payment for outstanding debts.

The case, which has now put the digital assets system in the sights of the judicial system, enables a new set of opportunities to redeem debts from actors that have not used the traditional finance system for storing funds.

The court based its decision on the fact that cryptocurrencies are assets liable to taxation, whose transactions must be reported to the Federal Revenues Service, and even if not legal tender, these can be used as a form of payment and a store of value.

Nonetheless, in its decision, the entity recognizes that there are operational difficulties regarding seizing digital assets, as they can be moved out of the regulated exchanges. In this sense, the court commented that a new system designed to facilitate this kind of action is already being developed.

The ruling states that:

The implementation of a system like this will undoubtedly make it simpler and faster to search for crypto assets owned by the executed party and carry out the respective seizure on them.

The appeal solves a controversy created by an earlier request to a court to seize cryptocurrency assets. Before, the First Chamber Reserved for Business Law of the Court of Justice of Sao Paulo denied this request, arguing that there is a lack of regulation regarding the commercialization of these assets in Brazil.

In the same way, it also established that allowing these searches would break the financial confidentiality of the executed party without adding any value to solve the creditors’ requirements.

Read more: Federal Revenue Agents Might Seize Bitcoin From Travelers in Brazil

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。