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B3 explores Brazil prediction markets tied to financial benchmarks

Regulation

Brazilian exchange B3 is assessing a potential first-quarter launch of prediction-market products linked to the BOVESPA index, the US dollar and Bitcoin. Industry participants said the market lacks a clear legal basis, and suggested the products would more likely fall under securities regulator CVM than the Secretariat of Prizes and Betting.

The products’ regulatory classification could determine whether betting or securities rules govern their launch in Brazil.

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