Brazilian Crypto Firms Face Exit as 90% May Be Expelled Under New Capital Rules

Brazil's central bank has introduced new capital requirements that could lead to more than 90% of local cryptocurrency businesses being expelled from the market, according to CoinPost. Local virtual asset service providers (VASPs) are estimated at 200-300 firms, but only 20-25 may meet regulatory criteria to apply for authorization, with around 10 expected to receive actual licenses. Businesses will need to secure up to 37.2 million reais (approximately $7.2 million) in own capital depending on their business type, and applications for authorization will begin October 30.