The Central Bank of Brazil has approved a new set of prudential rules for capital, wind control and disclosure requirements for virtual asset service providers. The new regulations will enter into force on 1 January 2027 and will apply to institutions that provide services such as encrypted brokering, hosting and transfers.
Capital and disclosure requirements
The companies concerned need to maintain a minimum capital reserve, establish a formal risk management system and regularly disclose financial and operational status. The Central Bank of Brazil stated that these measures were aimed at strengthening the financial system and reducing customer and market risk.
Phased integration
Under the new framework, the virtual asset service provider will be classified as Type 3 and will enter the S4 control group by the end of June 2028. According to the Central Bank of Brazil, this arrangement leaves industry with a longer interim period of compliance.
Limited small institutions
At the same time, S5 institutions that would have applied simpler controls would no longer be allowed to provide virtual asset services. In the view of regulators, such operations do not match lighter regulatory standards.
Additional information:In Brazil, encryption regulation has been promoted over the past year. In November 2025, the Central Bank issued its first operating rules; earlier this year, the National Monetary Commission requested encryption platforms to comply with confidentiality requirements close to traditional financial institutions.