Deep Tide TechFlow News, on November 30, according to Cryptoslate, the Central Bank of Brazil (BCB) announced a regulatory proposal that prohibits centralized exchanges from allowing users to withdraw stablecoins to self-custody wallets. According to the public consultation notice, the transfer of stablecoins (referred to as 'foreign currency-denominated tokens') between residents will be restricted, given that Brazilian law already allows payments in foreign currency.
This move is part of the cryptocurrency regulatory bill approved in December 2022, which designates the BCB as responsible for establishing the rules for the country's crypto industry. The public consultation will last until February 28, 2025, during which market participants can share their opinions with the regulatory body. However, the BCB can override opinions and act as stated in the document.