Brazil’s Crypto Boom: Gen Z Ditches Volatility for Stablecoins in 2025

Brazil's digital asset landscape is shifting—fast. Forget the wild swings of Bitcoin; a new generation is placing its bets on calmer waters.

The Rise of the Pragmatic Investor

Young Brazilians aren't just speculating; they're building. Faced with historical currency instability, Gen Z is bypassing traditional finance's red tape and volatile crypto assets, opting instead for dollar-pegged stablecoins. It's a hedge, a savings account, and a payment method rolled into one—without asking permission from the old guard.

Adoption isn't a niche trend anymore. It's mainstream movement, driven by real-world utility over get-rich-quick dreams. People are using crypto to pay bills, send remittances, and preserve purchasing power—actions that speak louder than any trading chart.

This pivot signals a maturation of the entire market. When the primary use case shifts from speculation to everyday utility, the foundation gets stronger. The traditional finance crowd might scoff, calling it a 'passing fad' between calculating their quarterly management fees—but they're watching the wrong metric. The game is no longer about price alone; it's about protocol, access, and ownership.

Brazil is writing a new playbook. One where financial sovereignty isn't a slogan, but a daily transaction.

TLDR

• Investors under 24 recorded a 56% increase in crypto participation in Brazil.
• Mercado Bitcoin distributed approximately $325 million through digital fixed-income products in 2025.
• Middle-income users tend to favor stablecoins, while holding the majority of their assets in tokenized bonds.
• Lower-income investors allocate over 90% of funds to volatile cryptocurrencies.

A growing number of young Brazilian investors are reshaping the country’s cryptocurrency market. New research from Mercado Bitcoin reveals that investors under the age of 24 are driving a shift toward lower-risk digital assets. Stablecoins and tokenized income products are gaining popularity among this demographic, signaling a broader move away from speculative trading. This trend aligns with shifting market behavior, rising regulatory requirements, and growing demand for real-world asset exposure on blockchain platforms.

Young Investors Turn to Stablecoins and Digital Bonds

Data from Mercado Bitcoin’s 2025 investor report highlights a 56% year-over-year increase in participation among users under the age of 24. Many of these investors are opting for stablecoins and fixed-income digital assets over more volatile cryptocurrencies. This approach suggests a preference for stability and capital preservation, particularly among newer market participants.

The exchange offers digital fixed-income products under the name Renda Fixa Digital (RFD). These assets represent tokenized portions of income-generating real-world instruments. Mercado Bitcoin’s strategy, described as an “invisible blockchain” model, allows users to access blockchain-based products without navigating complex technical interfaces.

In 2025, the platform distributed over 1.8 billion reals ($325 million) through RFD products. These digital bonds delivered average returns of 132% compared to Brazil’s benchmark interest rate, the CDI. The strong performance has further attracted users looking for alternatives to traditional savings and investment accounts.

Digital Asset Use Grows Across Demographics

The report shows that overall transaction volume on Mercado Bitcoin grew by 43% compared to the previous year. Mondays emerged as the most active day for both new sign-ups and trading volume, pointing to increased integration of crypto activity into weekly financial routines.

Investment behavior also varied across income levels. Middle-income users tended to allocate 12% of their portfolios to stablecoins, while 86% went toward tokenized fixed-income products. This group prioritizes risk management and consistent returns through low-volatility assets.

Meanwhile, lower-income investors showed a stronger preference for traditional cryptocurrencies, such as Bitcoin. More than 90% of the funds from this group were invested in high-volatility assets, indicating a focus on potential short-term gains despite higher risk exposure.

Regulation and Local Platforms Shape the Ecosystem

The expanding digital asset ecosystem in Brazil includes platforms beyond Mercado Bitcoin. Firms such as Liqi and AmFi also provide real-world asset tokenization and blockchain-based fixed-income products. These services reflect a broader trend toward merging traditional finance with blockchain infrastructure.

Recent regulatory changes also play a role in shaping investor behavior. Brazil’s central bank introduced updated rules last month, requiring crypto service providers to obtain licenses and meet capital requirements. These steps aim to provide more stability and transparency in the sector.

As real-world tokenization gains traction and younger investors prioritize safer entry points, Brazil’s crypto adoption appears to be moving toward long-term financial integration rather than short-term speculation.