Brazil's central bank announces new cryptocurrency trading rules

The Central Bank of Brazil has announced new rules for cryptocurrency trading, extending existing anti-money laundering and anti-terrorist financing regulations to virtual asset service providers, Reuters reported. Under the new framework, which takes effect in February of next year, the trading of cryptocurrencies pegged to fiat currencies will be classified as foreign exchange transactions. Additionally, Gilneu Vivan, the bank's Director of Regulation, stated that algorithmic stablecoins are already prohibited and that the trading of such assets is also banned.