Brazil has officially banned pension funds from investing in cryptocurrencies, including Bitcoin and Ethereum. The decision was made by the National Monetary Council (CMN) due to concerns about high volatility, the risk of fraud, and potential losses of pension savings. Finance Minister Fernando Haddad called this step a necessary measure to protect citizens' savings.

Previously, pension funds could invest in crypto assets if they met regulatory requirements, but now all such investments are completely banned. Previc (the pension fund supervisory authority) said that the decision is final and will not be revised. This has caused a mixed reaction: some consider the ban reasonable, while others see it as an attempt to suppress the crypto market’s competition with traditional finance.

Experts note that the ban could slow down the institutional adoption of cryptocurrencies in Brazil, but at the same time reduce the risks for retirees. The question is whether the country will miss out on potential profits from the long-term growth of digital assets by hedging against their volatility.