Brazil Proposes Mandatory 24-Hour Hold on Large Crypto Stablecoin Transactions
The Central Bank of Brazil has introduced a rulemaking proposal that would require a mandatory 24-hour hold period for stablecoin transactions exceeding $10,000 used in cross-border payments and remittances. The hold would allow virtual asset service providers (VASPs) to complete due diligence procedures, including risk analysis and verification of fund legitimacy, before releasing assets.
The bank clarified that the retention is precautionary and does not imply permanent unavailability of assets. Funds could be released earlier if the intermediary VASP mitigates the associated risks. The rule is intended to enhance screening of large stablecoin movements, but it would not significantly impact retail users due to the high threshold.
However, the proposal would affect companies and services that facilitate business-to-business (B2B) and institutional use of stablecoins for cross-border payments. This is particularly relevant as Latin America leads global institutional adoption of stablecoins for international transfers, with 71% of institutions in the region using them, according to the Digital Chamber.
The central bank has opened a public comment period until July 2 for interested parties to submit feedback on the proposed rule. Meanwhile, Federal Deputy Jonas Donizette has introduced Bill 2,946/2026, which would turn the central bank’s VASP rules into federal law, further formalizing the regulatory framework for virtual asset service providers in Brazil.