Central Bank of Brazil Bans Crypto for eFX Remittances

The Central Bank of Brazil issued Resolution 561 on April 30, 2026, prohibiting fintechs and payment businesses from utilizing stablecoins or other cryptocurrencies to settle overseas remittances through the regulated electronic foreign exchange (eFX) system. The ban is scheduled to take effect on October 1, 2026.

This regulatory shift occurs shortly after Ripple expanded its operations into Brazil in late March, introducing custody services and initiating an application for a central bank license. While Resolution 561 restricts eFX providers, the bank maintained a separate framework under Resolution 521. This existing rule allows licensed virtual asset service providers to continue using stablecoins for cross-border payments.

As a result of this dual-framework approach, licensed entities such as Braza Bank S.A. Banco de Câmbio can maintain their operations. Ripple is currently applying for a virtual asset service provider license to ensure its cross-border services remain available in the country despite the new eFX restrictions.