Binance, the largest cryptocurrency exchange by trading volume, has obtained a brokerage self-dealing license in Brazil, achieving an important milestone.
This approval issued by the Central Bank of Brazil makes Binance the first cryptocurrency exchange to obtain such a license in the largest economy in Latin America. It also marks Binance's 21st global regulatory authorization, further solidifying its commitment to compliance and growth.
Strategic acquisition of Sim;paul
With this license, Binance acquired the investment platform Sim;paul, located in São Paulo. As a fully licensed brokerage, Sim;paul is authorized to distribute securities and issue electronic currency. This acquisition enables Binance to operate within Brazil's regulatory framework while providing a wider range of services in compliance with local laws.
Binance's head of Latin America, Guilherme Nazar, emphasized the significance of this achievement:
"This milestone enhances our ability to provide secure financial solutions and drive the adoption of digital assets in Brazil. It reflects our relentless focus on compliance and our commitment to creating unparalleled value for our users."
Brazil: A key market for cryptocurrency growth
Brazil ranks 10th in Chainalysis's global cryptocurrency adoption index and has been proactive in regulating digital assets. Key initiatives by the central bank and Brazilian tax authorities include a proposed regulatory framework for cryptocurrency, which is currently open for public consultation.
Lawmakers are also discussing important topics such as stablecoin regulation and asset segregation. These efforts indicate that Brazil is taking a proactive approach to digital asset regulation, making the country an attractive market for Binance.
Integrating Sim;paul's licensed operations provides Binance with the tools to expand its services and meet the growing demand for secure cryptocurrency solutions. This move aligns with Binance's global strategy of promoting the adoption of digital assets while ensuring compliance with local regulations.
Binance CEO Richard Teng emphasized the importance of Brazil in the company's global expansion strategy, stating:
"This approval not only demonstrates our commitment to compliance and security but also highlights our dedication to providing a reliable and innovative digital asset platform for local users."
Binance's global regulatory journey
Binance's achievements in Brazil are a continuation of a series of regulatory milestones globally. Earlier in 2023, Binance obtained registration in Argentina, marking its 20th global approval. The exchange also became the first to obtain full licensing in Kazakhstan and regulatory approval in India.
To support its compliance initiatives, Binance has strengthened its anti-money laundering (AML) and counter-terrorism financing (CFT) measures, employing over 1,000 compliance staff globally.
Notably, in the past year, the company has expanded its regulatory reach to France, Japan, and El Salvador.