Brazil’s executive branch has taken steps to ensure the crypto market is properly regulated, with the Central Bank and Securities Commission being designated as responsible for overseeing the market. According to a decree published on Wednesday, the Securities Commission will exercise control over assets considered securities, while the Central Bank will determine the rules that exchanges must follow, including licensing requirements to operate. This follows the approval of a crypto regulation bill in December 2022 by former Brazilian President Jair Bolsonaro, which created a virtual service provider license and established a crime of fraud involving virtual assets.
Brazil has seen a high adoption rate of stablecoins and major crypto companies and protocols such as Coinbase, Bitget, and Metamask have opened operations in the country, making it a regional crypto hub.
Quotes: exercise control over assets considered securities, and determine the rules that exchanges must follow, including licensing requirements to operate.