Brazil requires $10,000 crypto reports for self-custody

Brazil will require regulated financial institutions to notify the Financial Activities Control Council (Coaf) of any crypto transfer of $10,000 or more to or from wallets controlled directly by users, effective Oct. 1.

Resolution BCB 588 directs institutions authorized by the Banco Central do Brasil to file reports whenever they send virtual assets worth at least $10,000 to a self-custody wallet or receive the same amount from one.

The obligation falls on the institution that processes the transfer. Exchanges, banks and other covered providers must identify self-custody counterparties and submit qualifying reports to Coaf by the next business day.

The $10,000 threshold is automatic: firms do not need to determine that a transaction is suspicious before filing. Normal deposits to or withdrawals from a customer’s personal wallet can trigger a report if they meet the value and transaction-type criteria. Institutions must continue to file separate reports for transactions they assess as suspicious.

A second rule, Resolution BCB 584, takes effect Jan. 1, 2027. It establishes a precautionary holding procedure for certain outbound virtual-asset transfers leaving regulated entities. Under that rule, some transfers may be delayed while additional checks are carried out, and funds can be released earlier when specified conditions are met.

Covered firms must update systems and processes before the October deadline. Required changes include tools to identify self-custody addresses, methods to calculate the fiat value of crypto transfers, and automation to deliver reports to Coaf. By January, some firms will also need procedures to place outbound transfers on hold and perform further reviews when required.

Participants that frequently move assets between custody and self-custody-trading firms, institutional users and high-value retail customers-are more likely to trigger the reporting threshold. Exchanges and banks will face added operational workloads for address attribution, valuation and automated filings.

On-chain analytics firm Chainalysis recorded $252.5 billion of crypto activity in Brazil for the measured period. Brazil ranked first in the firm’s 2026 global crypto adoption index and placed highly in categories such as cross-border flows and peer-to-peer activity. The measured crypto economy fell 1.6% in the most recent period.

Reports under Resolution BCB 588 will feed into Coaf’s anti-money-laundering framework and follow Brazil’s existing AML timing rules. The October and January effective dates set technical and compliance deadlines for firms operating in the country.