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Brazil’s central bank, Banco Central do Brasil (BCB), has barred the use of virtual assets in certain regulated international payment and transfer services, tightening rules for cross-border payment providers operating under the country’s eFX framework.
On Thursday, BCB <a href="https://www.bcb.gov.br/estabilidadefinanceira/exibenormativo?tipo=Resolu%C3%A7%C3%A3o%20BCB&amp;numero=561" rel="noopener noreferrer nofollow">published</a> Resolution BCB No. 561, amending existing rules for eFX, a regulated category covering international payments and transfers. The resolution states that payments or receipts between an eFX provider and its foreign counterparty must be carried out exclusively through a foreign exchange transaction or movement in a non-resident Brazilian real account, with the use of virtual assets prohibited.
The restriction also applies under transitional rules for eFX providers that are not yet listed among approved provider categories. Those firms may continue providing eFX only if they apply for authorization from the central bank by May 31, 2027, but their payments and receipts must still use foreign exchange transactions or non-resident real accounts, not virtual assets.&nbsp;
The rule does not amount to a blanket ban on crypto transfers in Brazil. Instead, it closes off the use of crypto and stablecoins inside the regulated eFX channel, reinforcing the central bank’s effort to keep cross-border payment flows within supervised foreign exchange rails.
<img alt="Brazil bars crypto settlement in regulated cross-border payment rails" height="398" src="https://payload.lum-tri.org/api/media/file/pasted-image-28.jpeg?prefix=media%2Fcontent" width="1866">
English translated excerpt of the BCB Resolution No. 561. Source: BCB&nbsp;
<h2 id="brazil-tightens-oversight-of-crypto-linked-cross-border-flows">Brazil tightens oversight of crypto-linked cross-border flows</h2>
Brazil has been moving to fold virtual assets into its financial and foreign exchange rulebook as stablecoins become a larger part of the country’s crypto activity.&nbsp;
In November 2025, the central bank <a href="https://www.bcb.gov.br/en/pressdetail/2639/nota" rel="noopener noreferrer nofollow">detailed</a> new rules for virtual asset service providers, including authorization requirements and rules for services involving virtual assets in the foreign-exchange market.
The central bank’s push follows concern over the use of stablecoins for payments and cross-border transfers. In February, Reuters <a href="https://www.reuters.com/technology/brazils-galipolo-sees-surge-crypto-use-says-90-flow-tied-stablecoins-2025-02-06/" rel="noopener noreferrer nofollow">reported</a> that BCB Governor Gabriel Galipolo said that crypto use had surged in the country over the previous two to three years, with about 90% of flows linked to stablecoins. He said that raised concerns around taxation, money laundering and asset backing.
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The eFX rule comes as Brazil’s central bank has also signaled concern over stablecoins issued by companies outside its regulatory perimeter. In a technical note sent to Congress and seen by Cointelegraph Brasil, the central bank said stablecoins issued by entities not subject to BCB supervision <a href="https://cointelegraph.com.br/news/central-bank-may-ban-stablecoins" rel="noopener noreferrer nofollow">could face a ban or strict conditions</a> in the domestic market.
The document said real-denominated stablecoins issued outside BCB supervision may pose risks to regulatory equality and monetary sovereignty, while foreign-currency stablecoins raise concerns around jurisdiction, capital flows and fragmentation of the payments system.&nbsp;
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Brazil bars crypto settlement in regulated cross-border payment rails

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