Coinbase files for Brazil crypto license ahead of October 30 regulatory deadline

Major virtual asset service providers in Brazil are rushing to submit authorization applications ahead of the Central Bank's October 30, 2026 deadline. Coinbase submitted its license application on October 28 without expecting service disruptions, joining major applicants like Binance and Itaú Unibanco. The central bank's stringent governance, auditing, and capital controls are reshaping the market, allowing compliant operators to continue under review while forcing smaller crypto firms to exit.

Coinbase files for Brazilian license

• ▪Coinbase reiterated plans to potentially expand into foreign exchange and payments in Brazil alongside crypto services under its Everything Exchange strategy.
• ▪Coinbase submitted its authorization application to the Central Bank of Brazil on October 28, 2026, under the country's virtual asset service provider framework.
• ▪Coinbase stated that it expects to maintain its existing Brazilian operations without service disruptions while regulators review its license application.

Brazil sets licensing rules and deadline

• ▪The Central Bank of Brazil set an October 30, 2026 deadline for existing virtual asset service providers to submit authorization applications to keep operating while under review.
• ▪Existing crypto service providers in Brazil that fail to submit applications by the October 30, 2026 deadline must cease operations, while authorized institutions face restrictions on transacting with unauthorized counterparties.
• ▪The Central Bank of Brazil introduced new regulatory requirements covering capital capacity, governance, auditing, customer asset safeguards, technology, and anti-money laundering controls.

Binance applies for license and alters services

• ▪Binance applied for a virtual asset service provider license with the Central Bank of Brazil
• ▪Binance temporarily paused crypto lending, margin trading, and other products while delisting 22 crypto assets to comply with Brazilian regulations.

Itaú Unibanco applies to offer crypto

• ▪Itaú Unibanco formalized its request to operate as a virtual asset service provider with the Central Bank of Brazil
• ▪Itaú Unibanco offers crypto trading on its platform for several digital assets, including Bitcoin, Ether, and USDC.

Market response and compliance burden

• ▪Only four crypto firms had submitted central bank approval applications in Brazil by September 19, 2026.
• ▪Banks operating in Brazil only need to communicate their intention to become licensed virtual asset service providers because they already comply with stricter institutional standards.
• ▪Strict capital and compliance rules mandated by the Central Bank of Brazil are forcing many smaller crypto firms to exit the Brazilian market.