- Binance submitted its application for a Brazilian crypto service license on October 23, beating the Central Bank’s October 30 deadline.
- In order to adapt to the nation’s fresh regulatory framework, the exchange limited eight different products and delisted 22 cryptocurrencies for Brazilian customers.
As the regulatory deadline of October 30 draws near in Brazil, Binance has formally requested a cryptocurrency service provider license. This submission coincides with the platform scaling back certain services and halting trading for 22 digital assets among local clients in order to meet the new mandates.
During an October 26 interview with the Brazilian financial outlet Exame, Binance Brazil General Manager Thiago Sarandy verified the submission. Local media reports indicate that the paperwork was filed on October 23 via BBrasil Sociedade Prestadora de Serviços de Ativos Virtuais Ltda.
While this filing places Binance into the regulatory review pipeline, it does not signify official approval from the Central Bank of Brazil. Current crypto service providers are required to get their applications in by October 30 to maintain operations under relevant transitional rules while officials assess their submissions.
Binance Changes Services Under Brazil’s New Rules
This license request comes on the heels of a broader reorganization of Binance’s operations in Brazil, which involved separating traditional financial services from its digital asset division.
Brazilian real balances and payment operations are now managed by Binance Brasil Corretora de Câmbio e Valores Mobiliários (previously known as Sim;paul). Meanwhile, the digital currency activities run through BBrasil, the corporate body pursuing authorization under the updated guidelines. The Central Bank previously cleared Binance’s purchase of Sim;paul in December 2024, though that authorization remains distinct from the ongoing crypto license evaluation.
As a result of these adjustments, Brazilian accounts lost access to eight features starting October 27, including Binance Loans, margin trading, Binance Pool, Cloud Mining, Launchpool, Megadrop, HODLer Airdrops, and Alpha 2.0.
Furthermore, the platform ceased trading support for 22 cryptocurrencies within the country. The impacted tokens feature Decred (DCR), Ravencoin (RVN), Zilliqa (ZIL), Secret (SCRT), Verge (XVG), Harmony (ONE), and Ethena USDe (USDE). Binance clarified that user balances for these assets would not experience automatic liquidation solely due to these trading adjustments.
The updated Brazilian regulatory structure mandates strict standards for virtual asset service providers regarding governance, internal safeguards, cybersecurity, capital reserves, and anti-money laundering protocols.
Looking ahead, Sarandy has outlined ambitions to broaden Binance’s footprint in Brazil past mere crypto trading to encompass payment options and additional financial solutions. Ultimately, the company’s capacity to deliver regulated cryptocurrency offerings relies entirely on the outcome of the Central Bank’s evaluation.
Frequently Asked Questions
When did Binance apply for the Brazilian crypto license?
Binance submitted its application on October 23 through BBrasil Sociedade Prestadora de Serviços de Ativos Virtuais Ltda., just ahead of the Central Bank’s October 30 deadline.
Why were certain products and cryptocurrencies restricted for Brazilian users?
The exchange restricted eight products and removed 22 cryptocurrencies (such as Decred, Ravencoin, and Zilliqa) from local trading to comply with Brazil’s new regulatory framework.
Does the license application mean Binance has been approved?
No, the filing simply enters Binance into the regulatory review process. The Central Bank of Brazil has not yet approved the license.
What entity handles Brazilian real balances for Binance?
Brazilian real balances and payment services are handled by Binance Brasil Corretora de Câmbio e Valores Mobiliários, formerly known as Sim;paul.
