Brazil Enacts Strict New Rules for Stablecoin Use as Part of Anti-Money Laundering Effort

In an effort to curb illicit activities, Brazil’s central bank has introduced new regulations impacting the crypto industry. The framework classifies stablecoins as foreign exchange, requiring firms to obtain approval from the central bank or cease operations by November 2026. This move aligns with FATF global compliance standards and aims to prevent misuse of digital assets for illegal transactions.