Latam Crypto Drama: Taxes, Gas Mining, Libra Scandals

Welcome to Latam Insights, your weekly dose of crypto chaos from Latin America. This week: Brazil wants to tax crypto flows, Venezuela’s gas might power Bitcoin mining, and Libra keeps throwing curveballs. Sweet.

Brazil Builds a Tax Plan for Crypto Flows-As If They’re Foreign Currency

The Brazilian government is cooking up a decree to tax cryptocurrency and stablecoin flows, treating them like foreign currency exchanges. Because nothing says “make it simple” like classifying digital coins the way you classify dollars-only with more paperwork. The ministry plans to put the document to public consultation to see how this impacts crypto usage in the country. Yes, please, tell us how tax policy will change how we spend our digital coins that no one truly understands.

The proposal to tax crypto and stablecoin flows stems from the Central Bank of Brazil’s move last year that labeled some of these operations as foreign exchanges. Since then, the Ministry of Finance says it’s working on a set of measures to curb the use of stablecoins to dodge taxation. Great plan-let’s tax the stuff people barely understand, and then pretend it’ll solve everything.

Venezuela’s Oil Comeback Could Spark a Gas-Driven Bitcoin Boom

With Venezuela’s oil industry opening up, chatter is buzzing about using flared gas to power bitcoin mining facilities. Because nothing says progress like lighting a forest-fire of gas to mine bitcoins, right?

The country has about 6,000 cubic kilometers of gas, and it’s the ninth-largest proven reserves holder. Yet a chunk of that gas is flared into the atmosphere because exploiting it isn’t feasible-sound familiar? Estimates say nearly 25% of Venezuela’s gas production goes up in flames.

Demerson David, a local bitcoin miner, told Criptonoticias that using this gas to mine bitcoin isn’t just possible-it’s a strategic opportunity to put wasted resources to work.

He stated:

“Following models like those in Argentina, we could install modular plants at the wellhead to generate electricity immediately, injecting direct capital into the national economy.”

Libra Case: Confidential Agreement Between President Milei and Hayden Davis Revealed

More reveals about President Milei and the Libra project-the token aimed at helping Argentine companies but apparently evolved into a billionaire rugpull-have surfaced. Clarin reviewed a document linking Milei and Hayden Davis, CEO of Kelsier Ventures, two weeks before Libra’s launch. The agreement reportedly made Davis a blockchain and artificial intelligence (AI) advisor to Milei.

The document states that Davis proposed providing “consulting services in blockchain and artificial intelligence to facilitate understanding, analysis, implementation, and impact of innovative technological solutions, contributing to taking advantage of the opportunities offered by the digital economy in Argentina.”

FAQ

  • What new tax developments are happening in Brazil regarding cryptocurrency?
    The government plans a decree to tax cryptocurrency and stablecoin flows, equating them to foreign currency exchanges.

  • How is Venezuela leveraging its gas resources for cryptocurrency?
    Venezuela aims to utilize flared gas for bitcoin mining, turning wasted resources into a profitable energy source for mining operations.

  • What recent revelations have emerged about President Milei and Libra?
    Confidential documents link President Javier Milei to Hayden Davis, revealing plans for Libra, a token intended to support Argentine businesses.

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2026-02-08 14:57