Brazil’s central bank has banned electronic foreign exchange (eFX) providers from using stablecoins, Bitcoin or other cryptocurrencies to settle overseas remittances.
BCB Resolution 561, issued on April 30, updates the rules for eFX, Brazil’s regulatory system for digital international payments, purchases, withdrawals and transfers. The rule takes effect on October 1, with an adjustment deadline of 2027.
Payments between electronic FX providers and their foreign counterparties must be made through FX transactions or non-resident real denominated accounts in Brazil, with cryptocurrencies banned as an option.
Remittance companies cannot collect reals from customers, convert funds to USDT, USDC or Bitcoin, and settle payments abroad via blockchain.
The rules do not ban cryptocurrency trading. According to BCB Resolution No. 521, which took effect on February 2, investors can still buy, sell, hold and transfer cryptocurrencies through authorized virtual asset service providers. Resolution 561 shuts down the back-end payment channels used by regulated eFX companies.
The change targets companies such as Wise, Nomad and Braza Bank that have integrated stablecoin settlement into cross-border flows. For example, Nomad uses Ripple’s network to move funds between Brazil and the United States and settle them in stablecoins, while Braza Bank issues a physically-backed stablecoin on the XRP Ledger.
According to data from Receita Federal, Brazil’s cryptocurrency market has a monthly trading volume of $6 billion to $8 billion, with stablecoins accounting for approximately 90% of trading volume. The country ranked fifth in global cryptocurrency adoption in 2025, up from 10th place a year ago. Approximately 25 million Brazilians hold or trade cryptocurrencies.
The resolution also limits eFX to institutions authorized by the BCB: banks, Caixa Econômica Federal, securities and foreign exchange brokers and payment institutions acting as issuers or acquirers of electronic currencies. Unauthorized companies can continue to operate but must apply before May 31, 2027. They must use separate client money accounts and submit detailed monthly reports.
Resolution 561 expands eFX in one direction. Providers can now process transfers related to financial and capital market investments in Brazil or abroad, up to a limit of $10,000 per transaction. The same restrictions apply to digital payment solutions that are not integrated with e-commerce platforms.
The rule is a second front in a broader regulatory push. In March, an industry association representing more than 850 companies opposed the expansion of Brazil’s IOF financial transaction tax to stablecoin businesses.
Brazilian regulators are drawing the line for cryptocurrencies to have a presence in the market, but not as electronic foreign exchange settlement infrastructure.
