Brazil's central bank orders exchanges to delay large crypto transfers abroad

Brazil's central bank has issued new anti-fraud regulations that require crypto exchanges to delay large cryptocurrency transfers to foreign platforms and self-custody wallets for up to 24 hours. The rule, which will take effect on January 1, 2027, applies to transactions involving Brazilian reais or cryptocurrencies where the funds are intended for transfer abroad or to a wallet controlled by the customer.

The hold will apply to transfers exceeding $10,000, and smaller transfers may also be delayed if flagged as risky. The central bank aims to curb the use of cryptocurrencies, including stablecoins, in financial fraud schemes. Exchanges will have the discretion to release a hold before the 24-hour period if they determine no wrongdoing has occurred, but must document this decision and inform the customer.

Some industry experts, such as Regina Pedroso of Brazilian tokenization group Abtoken, have expressed concerns that the new policy may impose costs on legitimate users and negatively impact the competitiveness of domestic exchanges.

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