Brazil Slows Crypto Transfers Over $10,000 Amid Fraud Fears

Brazil's central bank has introduced new fraud-prevention rules for cryptocurrency exchanges. The regulations require that overseas transfers exceeding $10,000 be delayed by at least 24 hours.

The temporary hold applies to deposits made in Brazilian reais or cryptocurrencies with an exchange, which are then sent abroad or to a wallet controlled by the user.

Smaller transfers considered risky may also be delayed. Exchanges can release a transfer before 24 hours if they find no signs of wrongdoing and must document their decision and inform customers when a transaction has been placed on hold.

The policy aims to prevent criminals from using cryptocurrencies, such as stablecoins, to move money obtained via fraud before it can be recovered.