Brazil Central Bank Plans Year-End Proposal for Crypto Regulation
Brazil's central bank will propose new crypto regulation by the end of this year, dividing the process into phases. After an initial public consultation, a second consultation will focus on regulatory texts to establish a comprehensive framework. This decision follows a 2022 law and aims to address the complexities of the virtual asset sector.
Brazil's central bank announced plans to phase the regulation of crypto-assets and virtual asset service providers, with new regulatory proposals expected by the end of this year.
This decision delays the completion of the regulatory process initially outlined in a 2022 law.
Central bank director Otavio Damaso had initially projected the regulation to be finalized by June 2024.
A public consultation launched in December 2023 and concluded in January gathered input from society and addressed issues not covered by the 2022 law, such as asset segregation for virtual asset service providers.
The central bank stated that the complexity and diversity of the virtual asset sector required thorough preliminary work.
A second public consultation will be conducted in the second half of this year, focusing on regulatory texts and utilizing the initial input to establish a robust regulatory framework with broad societal support.
This decision delays the completion of the regulatory process initially outlined in a 2022 law.
Central bank director Otavio Damaso had initially projected the regulation to be finalized by June 2024.
A public consultation launched in December 2023 and concluded in January gathered input from society and addressed issues not covered by the 2022 law, such as asset segregation for virtual asset service providers.
The central bank stated that the complexity and diversity of the virtual asset sector required thorough preliminary work.
A second public consultation will be conducted in the second half of this year, focusing on regulatory texts and utilizing the initial input to establish a robust regulatory framework with broad societal support.
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