Brazilian Crypto Exchanges Face Authorization Deadline Amid New Regulations

The Brazilian cryptocurrency market is undergoing significant changes due to new regulations imposed by the Banco Central. Since February of this year, exchanges offering services such as buying and selling, intermediation, and custody of cryptoassets have been required to register under a new regulatory regime. These exchanges must now obtain authorization from the BC to continue operating.

The period for existing companies to apply for authorization has begun to divide the market into distinct groups. Some exchanges are already in the process of applying or have publicly stated their intention to do so, while others have decided that the costs and requirements outweigh any benefits and will exit the market.

Some notable exchanges include Binance, which continues to operate in Brazil but has not announced plans to seek authorization; Bitso, which is closing its direct services to retail clients by October 30; and Crypto.com, which will stop offering a real-USD account on October 25. Other companies have chosen intermediate solutions.

The regulatory calendar has also undergone changes, with the Resolução BCB 589 determining that institutions cannot perform operations with SPSAVs outside of permitted conditions from November 6.