Sao Paulo legalizes the use of blockchain for data collection

The Brazilian city of São Paulo, as part of a new local law on data access and openness, introduced the concept of a decentralized ledger. But how exactly the technology will be applied, the authorities have not yet decided.

In the legislative act, blockchain is understood as an immutable ledger where transactions are recorded and through which you can track the use of various assets based on a computer network.. The law does not spell out in which cases its use will increase the efficiency of access to data and the solution of problems related to openness.

Some experts in the local media are convinced that the term was included in the law randomly, since it does not describe any practical application of the technology.

“Institutions recognize blockchain technology as a positive factor for the economy, but there is no clear prescription for the use of technology, which creates certain risks,” says Marcelo Castro, lawyer at Machado Meyer.

Earlier, representatives of the Brazilian Securities Commission said that the regulator should pay special attention to the supervision of the cryptocurrency industry.