New rule targets fraud prevention by delaying large virtual asset transfers to foreign entities or self-custody wallets for risk assessment.
Brazil’s central bank will require crypto service providers to delay transfers exceeding $10,000 for 24 hours under new fraud-prevention rules. The measure applies to transactions involving foreign virtual asset entities or self-custody wallets, allowing institutions to assess risks before releasing funds.
The rule, outlined in Resolution 584, expands existing payment service regulations to cover virtual assets, including stablecoins. Institutions must notify customers of the hold and may release funds early if risk criteria are met. The central bank emphasized the temporary nature of the delay, with assets remaining accessible after assessment.
The requirement follows growing scrutiny of crypto transactions amid rising fraud concerns. Similar measures have been adopted in other markets to curb illicit transfers, though Brazil’s approach targets a specific threshold and timeframe.