Brazil has become a pioneer in using digital assets to combat organized crime. The country's 'Anti-Gang Law', signed into effect by President Luiz Inácio Lula da Silva in March 2026, gives policing agencies the authority to seize cryptocurrencies from suspects and allocate the funds towards public security services.
According to a statement from Wellington Lima, Minister of Justice and Public Security, the new law represents progress in combating organized crime by incorporating mechanisms for 'financial strangulation' and enhancing the state's capacity to respond to complex criminal structures. The legislation has been met with cautious optimism, as it marks an unprecedented step towards utilizing digital assets for public purposes.
The majority of cryptocurrencies seized from perpetrators are expected to be Bitcoin (BTC), given its widespread adoption in Brazil. The country's total transaction volume grew by 43% between 2024 and 2025, with the average investment per user exceeding $1,000. As a result, the law is being closely monitored for its potential impact on organized crime and the broader cryptocurrency market.