The Brazil Tech And Innovation Round-Up: Open Banking, Fake News, Venture Capital Investment, E-Commerce Fraud – Forbes

Welcome to this week’s news round-up on the Brazilian innovation and technology ecosystem. Here is a selection of key developments and news you should know in Latin America’s largest economy during the week ending July, 11, 2020:

On Monday (6), Brazilian digital bank Nubank released a technical proposal advocating for self-regulation of open banking in Brazil. The document is based on the lessons learned in the United Kingdom, and details architectural suggestions based on the pillars of competition, customer autonomy and information security.

Open Banking enables a secure way to give providers access to consumers’ financial information and is expected to reduce prices while increasing sector competition. In Brazil, the practice will be implemented under a phased approach in November 2020 and is expected to complete in October 2021.


The Lower House of the National Congress of Brazil is preparing to vote a Bill around tackling the production and dissemination of fake news. The cycle starting on Monday (13) should go on for the next two weeks and will include debates, the definition of a rapporteur and creation of a final proposal in collaboration with the Senate.

The Lower House wants to vote the proposals as a matter of urgency, but academics, technology sector associations and civil society groups have urged lawmakers to hold a more comprehensive debate around the controversial project. Project advocates support the Bill as a means to hold fake news creators to account; on the other hand, civil society groups, companies and associations warn of risks around security, as well as threats to privacy and freedom of expression.


On Wednesday (8), Facebook announced the removal of a network of accounts, pages and a group, both on the social network and on Instagram, linked to the family of Brazilian president Jair Bolsonaro. According to the company, the accounts created fake profiles and engaged in “inauthentic behavior” around dissemination of false content across the social networks. As part of the measures, 35 Facebook accounts, 14 pages and 1 Facebook group were deleted, in addition to 38 Instagram accounts. Close to 2 million people followed these accounts.


The volume of venture capital invested in Brazilian startups in June 2020 totaled USD 156 million, spread over 33 rounds. The amount is 333% higher than the USD 36 million total seen in May this year, according to the study Inside Venture Capital Brasil, a survey conducted by Brazil-based open innovation firm Distrito. In the first half of 2020, VC investment in Brazil totaled USD 669 million, in a total of 167 rounds. In comparison with the same period in 2019, this is a decrease of 51% in relation to the USD 1.3 billion seen in the first half of last year.


One of the main technology parks in Brazil, Porto Digital, announced that it will resume its face-to-face activities starting on July 20. Porto Digital is located in the historic center of Recife, the capital of the state of Pernambuco. The 330 companies based in the district will follow a unified protocol will be used with a series of guidelines for personal hygiene, as well as rules for public transport and in environments such as bars and restaurants among other recommendations. Currently, Porto Digital is home to 330 companies, development organizations and government agencies, which employ over 11,000 professionals and entrepreneurs. Companies based in the park include Accenture, Fiat, IBM and Uber.


For every 100 fraudulent purchases on the internet in Brazil, 35 originate in the state of São Paulo, according to a census on e-commerce fraud released this week by anti-fraud specialists Konduto. The research was based on the analysis of more than 175 million e-commerce orders that passed through the company’s systems between January 1 and December 31, 2019. The survey results suggest that São Paulo accounts for 35.57% of fraud attempts and leads the ranking, followed by the states of Rio de Janeiro (10.34%), Minas Gerais (7.55%), Bahia (6.51%) and Paraná (5.49%).


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