BC tightens regulation for virtual asset service providers

The BC (Central Bank) announced this Wednesday (1st) a tightening of the regulation of companies providing virtual asset services, arguing that it seeks to ensure the solidity of institutions, mitigate risks to the financial system and promote regulatory convergence by imposing on these entities rules already applied to other institutions.

With the decision, companies providing virtual asset services and the conglomerates led by them will receive regulatory treatment close to that adopted for securities brokers and distributors.

"From January 1, 2027, these institutions will observe a set of prudential requirements, including risk management rules, capital requirements and information disclosure policies", said the authority in a note.

In addition, these institutions will be included until June 30, 2028 in the so-called Segment 4 of regulation, which generally groups smaller institutions, but this inclusion will be made regardless of the size of the company.

"With this initiative, the BC advances in the construction of a safe and proportionate regulatory environment for the development of activities with virtual assets in Brazil, aligned with best international practices and the evolution of the financial system", he stated.

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Source: CNN