BRASÍLIA—Brazil's Central Bank is moving to formally supervise the nation's $318.8 billion crypto market, which processed that volume on-chain over the past year. Virtual asset service providers must submit authorization applications by Oct. 30, 2026, under rules stemming from Law 14,478/2022 and Central Bank resolutions published in November 2025.
The framework targets firms engaged in trading, custody or transfer of crypto assets for customers. Brazil ranks as the world's fifth-largest crypto market by usage, according to CertiK.
Each application must include an independent assurance report detailing the applicant's anti-money-laundering and sanctions controls. Applicants must also meet minimum capital requirements ranging from approximately $2 million to $6.7 million, tiered by license category.
CertiK estimates roughly 120 VASPs currently operate in Brazil. Each must complete the application process and demonstrate compliance with the new Central Bank standards before the October deadline.
Stablecoins represent a major share of Brazil's on-chain activity. The regulations cover stablecoin issuers and the platforms facilitating their transactions and custody, imposing reserve transparency and operational requirements on both.
The licensing mandate adds a mandatory independent audit layer before any VASP receives authorization. The requirement follows $1.32 billion in global crypto hacks and exploits during the first half of 2026, per CertiK, and directly targets the AML and security control gaps those losses exposed.
Firms must allocate resources to align internal systems, compliance protocols and capital reserves with the new federal standards before the October deadline.
