Bitcoin Max Crypto Exchange Ends Up Triumphant in the Deadlock Situation with Brazilian Banks
Brazil’s Federal District Court has given a preparatory verdict which has forced two of country’s banks, Santander and Banco do Brasil to open its services to Bitcoin Max, a crypto exchange based out of the country. The banks were forced to do so to avoid paying fines of $1,350 for Santander and $5,400 for Banco do Brasil. The exchange’s attorney Leonardo Ranna has confirmed that their accounts have been reopened.
However, this case is far from over. The ordeal has been heating up for quite some time now. Prior to this verdict, the appeal of Bitcoin max went to the bank’s way. The exchange had to appeal to a Federal District Court to get their desired decision. Ana Catarino, the judge of the Federal District Court gave the decision owing to the bank's lack of communication which is considered to be “abusive conduct” under Brazil’s consumer protection laws.
The exchange’s $32,300 was held by Banco do Brasil After the lawsuit against the bank on September 12th didn’t give justice to Bitcoin Max, the bank was later given orders to unfreeze the account of avoid paying a fine of $540 per day.
Adriano Zanella, the exchange’s CEO says that the bank did not even inform or warn them prior to shutting down their account. We have seen multiple instances of such events happening in the country. Earlier this year, another Brazilain crypto exchange Waltime won a similar case against Caixa Economica Federal who had frozen $200,000 of their funds.
This has been a turbulent time for the crypto ecosystem in Brazil. There has been positive news such as the country’s biggest investment funds XP Investimentos opening XDEX crypto exchange. While there has been negative stories like their biggest exchange, Mercado Bitcoin, firing over 20 employes.