Brazil’s Congress has approved a bill to ban algorithmic stablecoins and mandate full collateral backing for all stablecoins issued in the country. The bill targets coins without collateral, aiming to ensure greater transparency and solvency. Stablecoins make up roughly 90% of Brazil's crypto trading volume. Violators could face up to eight years in prison. The bill will undergo further committee evaluations before being reviewed by the lower and upper houses of Congress.