TechFlow news, November 30 — According to Cryptoslate, the Central Bank of Brazil (BCB) has released a regulatory proposal prohibiting centralized exchanges from allowing users to withdraw stablecoins to self-custody wallets. As stated in the public consultation notice, transfers of stablecoins (referred to as "foreign currency-denominated tokens") between residents will be restricted, even though Brazilian law already permits payments in foreign currencies.
This move is part of a crypto regulatory bill approved by Brazil in December 2022, which assigns the BCB responsibility for setting rules for the country's crypto industry. The public consultation will remain open until February 28, 2025, during which market participants can share their feedback with regulators. However, the BCB retains the authority to override such feedback and proceed as outlined in the document.
