Crypto Regulation in Brazil 2025
Crypto regulation in Brazil is being shaped by the Brazilian Virtual Assets Law, which focuses on transparency, anti-money laundering and consumer protection, with cryptocurrencies legalised but not made into legal tender. The law brought in taxation on crypto trading, to be declared in annual tax statements, while also embracing blockchain and cryptocurrency for millions of Brazilians to utilise digital assets, with the country's Bitcoin reserve Bill also passing a committee. However, the Central Bank of Brazil has had to suspend C&M Software after a significant hack, with crypto tracking software also being introduced to monitor transactions on various blockchains. A flat tax rate of 17.5% was introduced on all cryptocurrency gains, while the Brazilian Superior Court of Justice ruled that crypto exchanges must trace and seize cryptocurrencies held by debtors, with crypto being increasingly treated like traditional financial assets.
