PANews reported on June 2nd, citing Bits.media, that the Central Bank of Brazil has tightened licensing rules for virtual asset service providers, requiring them to undergo independent financial audits before obtaining operating licenses, effective June 1st. Auditors must not only examine the company's financial condition but also review its anti-money laundering and counter-terrorism financing compliance, including whether the platform separates its own funds from customer assets, its risk management methods, and employee training. Auditors must be registered with the Brazilian Securities and Exchange Commission. Cryptocurrency exchanges, brokerage firms, and custody services applying for licenses for the first time must comply with these requirements from the start of the registration process, and existing license holders must also undergo independent audits when renewing their licenses.

Brazil first explicitly regulated virtual asset services through legislation in 2022, placing them under the supervision of the central bank, and established a category of licensed virtual asset service providers in November 2025. Furthermore, Brazil recently imposed a blanket ban on 28 betting and prediction market platforms, including Polymarket and Kalshi, for failing to comply with local derivatives trading requirements. From October 1st, Brazilian electronic forex trading providers will be prohibited from using cryptocurrencies for international remittances.