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Brazil signs anti-gang legislation allowing confiscated cryptocurrencies to be used to fund law enforcement agencies
Brazilian President Luiz Inácio Lula da Silva signed an anti-gang bill on Tuesday, granting authorities new powers to freeze and confiscate assets during investigations and after convictions, including types of assets such as cryptocurrencies, stocks, and luxury goods.
The bill allows authorities to permanently confiscate relevant assets and sell them, with the proceeds used for police equipment upgrades, training, and special operations. The bill also establishes an economic incentive mechanism for public assistance in law enforcement, offering whistleblowers who provide information and assist in asset recovery up to 5% of the confiscated assets as a reward. Assets confiscated in connection with drug trafficking will be included in the federal anti-drug policy fund rather than the security fund. Additionally, the bill increases penalties for extreme violent criminal organizations, paramilitary groups, and private militias that use violence or serious threats to control territory, disrupt public services, attack infrastructure, or intimidate authorities and civilians.
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