Brazil limits CBDC powers as LatAm logs $1.5T in stablecoins

The Economic Development Committee of Brazil’s Chamber of Deputies advanced a revised version of Bill 4212/25 that would limit the powers of the Central Bank of Brazil over a potential central bank digital currency. The bill was introduced by Deputy Bia Kicis and amended by rapporteur Lafayette de Andrada.

The draft specifies that a central bank digital currency cannot replace paper money, cannot be imposed as legal tender and cannot be used as an instrument of political or ideological surveillance. Article five requires authorities to ensure that “digital currency does not result in financial exclusion, always guaranteeing alternatives accessible to the population without access to digital media.”

The text would set legal limits on how a state-issued digital currency could be deployed and would restrict powers of the Central Bank and other financial institutions linked to a CBDC. Lawmakers presented the measure as a protection for cash users, privacy and citizens’ security.

Separately, Rain, a fintech that provides infrastructure for stablecoin-backed payment cards, reported significant stablecoin activity in the region. In its “State of stablecoins in Latin America” report, the company said nearly $1.5 trillion flowed through the region from 2022 through 2025, with the majority of those flows intermediated by stablecoins. The report links that use to demand for dollar-denominated assets in countries experiencing high inflation and currency depreciation, citing the Argentine peso and the Venezuelan bolívar as examples of sharply devalued national currencies.

Bitfinex Securities published a report on tokenization in Latin America that highlights opportunities in Venezuela. The report says tokenized securities could help Venezuelan companies access international capital beyond the small local market and could support traditional venues such as the Caracas Stock Exchange, which lists roughly 40 companies and has low liquidity. Jose Miguel Farias, a fundraising consultant cited in the report, described any company seeking $30 million to $50 million as “aiming for an amount that represents a significant fraction of what the local market moves in several months.”

Bill 4212/25 must still pass further legislative stages before becoming law. Regulators across the region are continuing to develop rules for digital currencies, while private firms are expanding stablecoin payments and exploring tokenized securities as alternative financing and payment options.