The Brazilian judiciary has allowed the use of inappropriate tokens (NFTs) to provide subpoena to unclear individuals in a well-known crypto fraud case. The decision is linked to the bankruptcy case of BWA Brazil, a digital currency investment company accused of fraud involving 11,200 bitcoin, currently valued at around $900 million.
Arbitration I object to the background of a legal plea to suspend the law on restrictions on claims related to cryptocurrency allegedly purchased using creditor funds. The court-appointed trustee overseeing BWA Brazil’s bankruptcy property has requested permission to provide a digital subpoena via NFT.
Tokens containing legal documents backed by the Brazilian prosecutor’s office will be sent to the Bitcoin wallet address associated with the dispute transaction.
I accept court decisions Using NFT Summons
In the ruling, the court has doubled the need to protect creditors and stated:
“cMillions of dollars lost cannot be further hurt by legislative delays to keep up with innovation. Therefore, I authorize the court-appointed trustee to use electronic communications to take all necessary steps to carry out this interrupted protest (suspending the deadline for litigation). NFTS. ”
This scale is intended to target people whose identity is unknown but can track Bitcoin blockchain activity. The bankruptcy property says 11,200 BTC was purchased with money from a BWA Brazilian client before the company went out of business. This means that clients could be sued to get their money back.
Four crypto exchanges, including Bit Blue, Mercado Bitcoin, Brasiliex and Bitcambio, are directed to notify the owner of the wallet involved in the case by transferring a copy of the court’s judgment and the original legal petition.
BWA Brazil: What’s happened so far?
BWA Brazil was founded in 2017 by Paulo Roberto Ramos Bilivio as an investment company that provides Bitcoin exposure. It attracted customers with a promise of a fixed monthly return of 5% of deposits, what economist It was created As an unrealistic guarantee given the unstable nature of Bitcoin.
The company collapsed in early 2020 after freezing its withdrawal. Submit In the case of the Chapter 15 Bankruptcy Petition, investors left an estimated $300 million loss (approximately $52.2 million). Authorities later identified the BWA as one of Brazil’s largest crypto pyramid schemes.
A Brazilian court had the BWA collect judicial levy in July 2020. This is a process that helps businesses pay off their debts. However, less than a year later, the court changed its mind and declared it had bankrupted the company because there was no evidence that it was trying to pay back it to its clients.
Bilivio and his business associate, Jessica da Silva Farias, face accusationsR USClient funding buy Bitcoin before the company collapsed. Still, both Overall, there has been no arrests reported? deep Sighting information.
Brazil I’ll tighten it Limitations on crypto investments for pensions Funds
On Monday, another monetary policy decision outlined in the CMN resolution 5.202/2025, Brazil’s top financial authorities have imposed new restrictions on pension fund crypto investments.
Local news publications It has been reported The National Council of Currency (CMN) is a ban on the closed pension fund known as Entidades Fechadas Depripensia Complementary (EFPCS) from investing in Bitcoin or other digital assets. EFPC traditionally invests in bonds and stocks, managing retirement savings for union members and corporate employees.
“This resolution also prohibits investment in virtual assets, taking into account certain investment characteristics and associated risks.” A notice from the Ministry of Finance explained.
However, Brazilian citizens At first glance, he doesn’t seem to be too worried Regarding cryptographic regulations. a investigation The results of the data from DataFolha and Paradigma Education commissioned by Hashdex and Coinbase revealed that out of more than 2,000 participants, virtual currency ranks Brazil’s fifth most popular investment option, with 16% of respondents holding digital assets.
it was It will be placedTraditional options such as money stored at home (24%) and investment funds (19%) but Outperform Assets such as foreign currency, bonds, gold, and stocks. Savings accounts were the most preferred investment tool, followed by real estate, attracting 31% of respondents.
