Brazil’s Central Bank Formalizes Crypto Regulations for Financial Institutions
Brazil's Central Bank (BCB) has introduced a comprehensive regulatory framework for banks and securities firms handling cryptocurrency assets. The new rules, outlined in Instrução Normativa BCB No. 701, mandate strict compliance measures for institutions seeking to offer crypto intermediation and custody services.
Financial entities must maintain current registrations in Unicad and submit independent certifications through the BCB's APS-Siscom system. A key requirement involves hiring qualified third-party certifiers to verify compliance with Virtual Asset Service Provider (VASP) regulations before commencing operations.
The regulations emphasize segregation of client funds from corporate assets, reinforcing investor protections. This MOVE follows BCB Resolution No. 520 from November 2025, providing operational specifics for Brazil's evolving digital asset landscape.