Brazil's Oct 4 presidential election: what crypto rules apply in the world's top crypto-using country?
Author: Crypffalo Research · 20:45 04/10/2026
Brazil, ranked first in Chainalysis's 2026 crypto adoption index, elects a president on Oct 4. New rules on exchanges, self-custody wallets and stablecoins stay in force no matter who wins.
On Oct 4, 2026, Brazil holds the first round of its presidential election, with a runoff (if needed) on Oct 25. This is a notable event for the crypto world, as Brazil currently has the highest level of crypto use in the world and has just tightened a number of new rules.
The presidential race
- The two main candidates: incumbent President Luiz Inácio Lula da Silva and Senator Flávio Bolsonaro.
- Datafolha's final poll: Lula 45%, Bolsonaro 42% of valid votes. On prediction markets, however, Bolsonaro is given about a 62% chance of winning.
- Under Lula, crypto regulation has become stricter. Bolsonaro's campaign platform talks about tax cuts and looser regulation in general, but has no specific policy on crypto or stablecoins.
What rules does Brazil currently apply?
- BCB Resolution 520 (effective Feb 2): virtual asset service providers must obtain authorization from the Central Bank and comply with standards on governance, customer protection and anti-money laundering.
- Resolution 588 (effective Oct 1): transfers of virtual assets worth 10,000 USD or more to or from self-custody wallets must be reported to the financial intelligence unit.
- Resolution 589 (effective Nov 6): licensed institutions may not facilitate transactions with unlicensed virtual asset providers.
- The Central Bank monitors stablecoin transactions linked to foreign exchange. Stablecoins account for about 80% of declared crypto trading volume (July 2026).
- On taxes: the tax authority has applied the DeCripto reporting regime to transactions since July 2026, following the OECD standard. A consultation on crypto tax policy has been postponed until after the election.
What could change?
- The rules above remain in force regardless of who wins.
- If Bolsonaro wins, the direction of crypto regulation becomes harder to predict, since his platform does not say whether he would keep, amend or scrap the current rules.
- Crypto tax policy remains open and depends on the new government.
Why should Vietnamese investors care?
- Brazil tops Chainalysis's 2026 crypto adoption index, with a crypto economy of about 252.5 billion USD. The way Brazil regulates stablecoins and self-custody wallets is a reference point for many developing countries, including Vietnam.
- The general trend: countries are tightening oversight of exchanges and transfers to private wallets rather than banning crypto. See also The US GENIUS stablecoin law.
This content is for information only; it is not legal advice and not financial advice.
Tags: Brazil, Policy, Stablecoin, International Regulation
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