Mining is banned! Brazilian regulator issues a hefty fine

“The agency has determined that the company and the individuals mentioned above publicly offered an investment opportunity related to the quota of the Bitcoin mining company HashBrasil and called on the public to enter into contracts that may fall under the concept of legal securities.”

The agency also threatened to fine HashBrasil 5,000 reais per day, or about $1,500, if it did not terminate the project.

Under pressure from regulators, the team behind HashBrasil said in a Facebook message on March 1 (the day after CVM issued its statement) that it had suspended its activities in accordance with the relevant statement. "We will announce the measures we will take to protect the interests of our customers, and they are legal and regular methods."

The Brazilian government has always been unfriendly to cryptocurrencies. In October last year, Central Bank Governor Ilan Goldfajn said that Bitcoin is a pyramid scheme.