Brazilian crypto exchanges must submit license applications by Friday, with compliance costs and regulatory questions coexisting

Odaily reports: Brazilian crypto exchanges must submit license applications by Friday in order to continue operating during the regulatory review period; the review may last up to two years. Companies that fail to apply on time must cease providing services within 30 days starting Friday. From November 6, banks and payment institutions will also be restricted from conducting crypto transactions with unauthorized service providers.

The Central Bank of Brazil (Banco Central do Brasil, BCB) introduced a crypto regulatory framework in November 2025, requiring service providers to verify the source and destination of crypto transfers, including transfers involving self-custody wallets. The rules also set a $100,000 cap on certain international crypto transfers where the counterparty is not authorized to operate in the Brazilian foreign exchange market, and exchanges still have questions about wallet identification, interpretation of the limits, and transaction reporting thresholds.

Fabio Cendão, founding partner of Brazilian law firm FCM Law, said that applying is only the starting point of the process, and compliance also involves high capital requirements, technical certification, custody audits, and anti-money laundering controls. Depending on the services provided, minimum capital requirements range from 10.8 million to 37.2 million Brazilian reais; Cendão noted that the related costs may make it difficult for smaller exchanges to comply. (Cointelegraph)