#binance
Binance Secures Regulatory Authorization in Brazil, Its 21st Globally
Main Takeaways
Binance has secured approval from the Central Bank of Brazil for the acquisition of a locally licensed broker-dealer institution in Latin America’s most populous country, marking its 21st global regulatory milestone and solidifying its status as the most licensed cryptocurrency exchange worldwide.

Binance CEO Richard Teng highlighted Brazil's burgeoning crypto adoption and emphasized the company's commitment to providing a secure and innovative platform for local users.

Binance's regulatory milestone in Brazil follows similar achievements in Argentina, India, Kazakhstan, and others, highlighting its commitment to growing crypto adoption in a responsible and sustainable manner.

In a development that underscores Binance’s commitment to adhering to the highest regulatory standards both globally and regionally, we have recently secured approval from the Central Bank of Brazil for the acquisition of Sim;paul, a broker-dealer licensed in Latin America’s most populous country. This achievement marks our 21st global regulatory milestone, further solidifying our status as the cryptocurrency exchange with the greatest number of licenses, registrations, and authorizations across the world.

Brazil: Embracing the Future of Finance
By receiving full approval for the takeover of Sim;paul – a licensed broker-dealer authorized to distribute securities and to issue electronic money (EMI) by the Central Bank of Brazil, Binance, which was already operating in compliance with the regulatory requirements in the country as a global exchange, can be more efficient in complying with the ongoing regulatory advancements. The approval also makes Binance the first crypto exchange to have a broker-dealer license in Brazil.

Richard Teng, Binance's Chief Executive Officer, highlighted the importance of this achievement, saying, "We are thrilled to announce our latest regulatory approval. A market with burgeoning crypto adoption, Brazil is home to a vibrant and dynamic community that is readily embracing the future of finance. We thank local regulators for their commitment to defining clear rules for this important, growing industry. This approval underscores our commitment to compliance and security, and we look forward to continuing to provide our local users with a secure, reliable, and innovative platform for their digital-asset needs."

Ranking 10th in Chainalysis global adoption index, Brazil is taking a forward-looking approach to setting specific rules for the crypto industry. The Central Bank and the Brazilian IRS have published proposals for a dedicated regulatory framework, putting it up for public consultations for market participants and experts to make suggestions, while in Congress legislators discuss federal bills on asset segregation and stablecoins, which are also relevant for the sector.

Guilherme Nazar, Head of Latin America for Binance, commented, “This approval marks a significant milestone in our ongoing commitment to expanding our products and services in Brazil. It highlights our dedication to compliance and regulatory excellence while enhancing our ability to provide secure and innovative financial solutions to our growing user base in the country. We look forward to taking this opportunity to further drive the adoption of digital assets and deliver unparalleled value to our clients in Brazil."

Starting 2025 on a High Note
Binance's registration in Brazil follows other recent regulatory advancements across the globe this year, including in Argentina, India, Kazakhstan, and Indonesia. This dynamic showcases Binance’s sustained global momentum and adds to previously secured licenses, registrations, and authorizations in jurisdictions like Dubai, France, Japan, El Salvador, and others.

In line with its global standards, our compliance program includes robust anti-money laundering (AML) policies and controls and a comprehensive framework for combating the financing of terrorism (CFT). In addition to that, key components of Binance's compliance program include robust identity verification processes (Know Your Customer and Know Your Business, or KYC and KYB) and the industry-leading Financial Crime Compliance (FCC) unit, designed to assist law enforcement in investigating crypto asset-related crimes and capacity building, thereby strengthening the collaborative security of the ecosystem.

Furthermore, we have expanded our global compliance team by 34% to 645 full-time employees, including strategic senior hires. We employ over 1,000 compliance staff and contractors, ensuring that we dedicate sufficient resources to drive Binance and the larger crypto ecosystem’s growth sufficiently and responsibly.

Further Reading
Binance Records Its 20th Global Regulatory Milestone With Registration in Argentina

Binance Achieves Its 19th Global Regulatory Milestone With Registration in India

Binance Kazakhstan: The First to Secure a
Full Regulatory License From AFSA
#Brazil

The Brazilian Tax Office (RBF) has taken note of the increasing popularity of stablecoins in the country's cryptocurrency market. Stablecoins, such as USDT, USDC, and BRZ, have become the preferred choice for most cryptocurrency transactions in Brazil. The Brazilian Tax Office recognizes that this trend could have significant implications for the tax and regulatory landscape surrounding cryptocurrencies in the country. Stablecoins are digital assets that are pegged to the value of a fiat currency, such as the Brazilian peso, and are designed to maintain stability in their value.Among the stablecoins, Tether's USDT stands out as the largest one by market capitalization and also the most traded cryptocurrency in Brazil. USDT has been involved in over 80% of all transactions in the country since 2019, transferring more than 271 billion reais (approximately $54 billion).The CEO of Tether, Paolo Ardoino, expressed his satisfaction with the growing adoption of USDT in Brazil. He believes that the product's usefulness in solving real-world problems is the driving factor behind its increasing popularity. The convenience and practicality offered by stablecoins are attracting more users as they navigate the cryptocurrency landscape.It seems that Brazil is experiencing a similar trend to countries like Nigeria, Argentina, and Turkey, where inflation is becoming a concern for citizens. In such cases, Tether (USDT), a universal global currency, often comes to the rescue and sometimes replaces the inflating national currency.This is evident as wholesale food transactions, as well as large real estate and automobile transactions, are increasingly being serviced using USDT. Despite government and tax authorities worrying about tax collection, citizens are motivated to preserve their savings and income in the face of hidden inflation.Brazil, in particular, is facing potential changes as the likely next socialist populist president plans to introduce the US dollar as the national currency. Last year, from October to December, the turnover of USDT in the Brazilian economy grew from $877.5 million to $2.381 billion. In 2023, the USDT turnover reached $54 billion.This shift towards using USDT suggests that many Brazilians are seeking stability and protection for their assets amidst inflation concerns.It seems that the Central Bank of Brazil has made an announcement regarding the creation of a Central Bank Digital Currency (CBDC) called Drex. This new currency aims to modernize and facilitate electronic transactions in Brazil. With the anticipation of the introduction of the digital real, the turnover of USDT (Tether) in Brazil has significantly increased.Inflation and an increase in the consumer price index have contributed to this surge in USDT turnover. In just a year and a half, the turnover has increased by 62 times and reached $877.5 million. This success with USDT in Brazil might be an indicator of what could happen in Russia with Tether's digital ruble.The testing of the digital ruble in Russia is reportedly going according to plan, and the Central Bank of Russia plans to expand the pilot in 2024. By 2025, the mass introduction of the digital ruble is expected. However, the Head of the Bank of Russia, Elvira Nabiullina, may not realize the potential impact of Tether in Russia.From the indications in Brazil, Tether has the potential to replicate its success in Russia with its digital ruble. It will be interesting to see how the introduction of the digital ruble unfolds and how it may affect the financial landscape in Russia.The current estimated turnover of USDT (Tether) in the Russian economy is around $4 billion. However, it is possible that this volume is actually much higher. Considering the significant increase in USDT turnover in Brazil (62 times in a year and a half), it is worth wondering how the Central Bank of the Russian Federation would react if USDT experiences a similar growth in Russia.It seems that the Brazilian President, Lula Da Silva, is quite pleased with the success of USDT in Brazil. This raises the question of whether the Russian government and central bank can effectively handle the potential impact of Tether in their economy.It will be interesting to observe how the Russian authorities and financial institutions navigate the evolving digital currency landscape and the potential implications it might have for the country's economy.Follow us. Like and share$BTC $ETH $BNB #cryptocurrency #brazil #Stablecoins #bitcoin #USDT