Central Bank of Brazil Targets Early 2025 for Finalizing Crypto Exchange Rules

The Central Bank of Brazil aims to finalize regulations for cryptocurrency market participants by early 2025, according to Nagel Paulino, head of the regulatory department. 

The bank will conduct a second public consultation to refine the draft rules based on market feedback, addressing issues like asset segregation and risk management. The first consultation, held from December to February, involved a detailed questionnaire on key crypto industry aspects. The upcoming consultation will focus on adapting regulations to Brazil’s unique market needs. 

Although this will complete the regulatory framework for virtual asset service providers (VASPs), further work remains on topics like asset tokenization, tariff rules, liquidity providers, and stablecoins, which are crucial for Brazil’s growing crypto market. Federal Deputy Aureo Ribeiro believes these consultations will help create a regulatory environment that supports market growth and attracts global investors.

Clever Robot News Desk 31^st July 2024