Brazil is set to implement a comprehensive regulatory framework for cryptocurrencies starting February 2026, according to a Chainalysis report. This move signals a significant step towards mainstream adoption and increased security within the Brazilian crypto market. The Central Bank of Brazil (BCB) is leading the charge with three key resolutions designed to govern crypto assets. These resolutions introduce licensing requirements for crypto firms operating within the country. Expect increased scrutiny and compliance costs for businesses in this space. Furthermore, the regulations emphasize anti-money laundering (AML) and counter-terrorism financing (CTF) measures. These are critical for maintaining the integrity of the crypto ecosystem and preventing illicit activities. User asset segregation will also be mandatory, offering greater protection for investors' funds. This separation ensures that customer assets are not commingled with company funds, safeguarding them in case of insolvency. ```