South American stablecoin usage rising

“Brazil’s regulators are already tightening control over stablecoin flows and virtual-asset service providers, and they’re doing it in tiers. Under Resolution 561, virtual assets can no longer settle transactions inside the regulated eFX system, so cross-border payment and receipt flows are pushed back onto banks and traditional foreign exchange.

“Resolutions 519, 520 and 521 reinforce that by capping non-bank providers: virtual-asset service providers are limited to $100,000 per transaction, while banks face no such cap at all. That asymmetry makes these flows unworkable at scale for anyone that isn’t a bank.

“And most recently, the Central Bank moved directly against the fund…