Coinbase has taken a significant step toward expanding its operations in Brazil by applying for authorization as a crypto service provider. The US-based exchange submitted its application to the Central Bank of Brazil on Wednesday, ahead of the country’s deadline for license applications on Friday. The move comes under Brazil’s virtual asset service provider (VASP) framework, which introduces new requirements for governance, customer asset safeguards, and compliance.
A Coinbase spokesperson assured that the application review process should not disrupt its existing services in Brazil. The exchange also reiterated its plans to bring its “Everything Exchange” strategy to the country, which could include foreign exchange and payments services alongside crypto offerings. However, those additional activities would require separate regulatory authorizations.
Coinbase is not alone in seeking regulatory approval in Brazil. Binance applied for authorization earlier this month but has already restricted certain services, such as crypto lending and margin trading, while delisting 22 crypto assets to comply with the new rules. Existing crypto service providers in Brazil must apply for authorization by the end of October to continue operating under transitional arrangements.