Brazil is making headlines in the cryptocurrency world with a revolutionary proposal that could redefine how workers are paid.

On March 12, 2025, Federal Deputy Luiz Philippe de Orleans e Bragança, a descendant of Brazil’s royal family, introduced Bill PL 957/2025, which seeks to allow employees to receive part of their salaries in cryptocurrencies like Bitcoin.

This bold move positions Brazil as a leader in crypto adoption in Latin America, sparking debates about its implications for workers, employers, and the broader economy.

Striking a balance between financial stability and innovation

In the proposed legislation, Orleans-Bragaza asked lawmakers to prohibit employees from paying full salaries, in crypto, capping such payments at 50%.

In Brazil, the payment of salaries exclusively on virtual assets is prohibited, except for special cases involving expatriate employees or foreign workers, under the terms of regulations by the Central Bank of Brazil.

But the bill also includes a special clause that allows for full crypto payments by "independent service providers," subject to certain contractual provisions.

The conversion rate of the amount paid into crypto must follow the exchange rate officially established by an institution authorized by the Central Bank of Brazil.

Orleans-Braganza explained that the introduction of crypto payment salaries in Brazil has multiple different goals, some of which are articulated in the bill itself, while the media, lawmakers, and experts single out others.

According to the bill, it "seeks to align the national legal system to innovation and the new dynamics of the digital market, ensuring security of employers and employees who wish to adopt this remuneration on a voluntary basis."

The proposal aims to follow the success stories of countries such as Switzerland, Japan, and Portugal. Orleans-Braganza mentioned

"In Japan, for example, legislation requires individual agreement between employer and employee, as well as specific guidelines for the conversation of the amount paid. In Portugal, regulation brought flexibility and drove the adoption of virtual assets in the financial sector."

Interestingly, these countries have all decided against the idea of creating a Bitcoin reserve, but instead choose other ways of adopting crypto into their society. For example, Switzerland began to collect taxes in crypto, while a Japan has allowed crypto payments in certain parts of the country.

This proves that crypto adoption comes in different shapes and forms, with different countries adopting and integrating it into their own country and economy through different shapes and forms.

Jumping on the Crytpobandwagon at the right time

As the world's tenth-largest economy, Orleans-Braganza also highlights the importance for the country jumping on the cryptobanwagon at the right time. Through its crypto-friendly regulations, Brazil hopes to preserve its position as the leading economy in Latin America and competitive position in the world.

While Brazil has already set in place a good foundation with crypto friendly regulations, but experts believe that the country needs to provide greater clarity as the next step forward. Currently, Brazil is currently eyeing the creation of a sovereign Bitcoin reserve.

Although the bill is hardly applicable to the country's external affairs, it aligns with Brazil's recent suggestion to consider cryptocurrencies as the means of exchange between the BRICS members. Through the use of crypto, Brazil hopes to undermine the value of the U.S dollar in the international trade and establish BRICS as an independent bloc from the U.S.