First thougths on crowdfunding agreement and the rules set forth on Resolution 4,656/2018 of Brazilian Monetary Authority

Abstract

This paper aims to analyze the set of rules established on Resolution n. 4,656 issued by the Brazilian Monetary Council on April 26, 2018 with respect to the so-called “personal loan companies” (sociedade de empréstimo de pessoas). The purpose of this company is to enable loan and financing operations between people through the use of an electronic platform, by means of a “financial crowdfunding agreement” (contrato de crowdfunding financeiro). The study highlights the legal consequences of such resolution, which recognized such personal loan companies as financial institutions, especially in connection with the effects on Consumer Law regulation.