Demand for cryptocurrencies in Brazil surged to $14.68bn (£11.4bn) in the first half of 2026, with dollar-pegged stablecoins now accounting for more than 90% of purchases and eclipsing bitcoin as the country’s preferred digital asset, according to new data from the Central Bank of Brazil.
The figures, published in an external sector statistics report on Tuesday, show Brazilians more than doubled their spending on crypto assets such as bitcoin, ether and stablecoins compared with the same period a year earlier. Purchases rose 135% from $6.24bn in the first half of 2025, underlining the pace at which digital assets have taken hold in Latin America’s largest economy.
June 2026 marked a particularly strong month, with Brazilians buying $2.54bn in crypto assets, up sharply from $1.48bn in June 2025. The trend was even more striking in May, when stablecoin purchases alone reached almost $2.632bn, a 158% jump on May 2025.
Speaking to Valor Economico, Fernando Rocha, head of the Central Bank’s Statistics Department, said the latest data shows that Brazil’s crypto market has moved beyond its experimental phase and is now bedding in.
“The crypto asset market is relatively new, not so new anymore. It is still expanding, both in Brazil and around the world. It is consolidating and discovering applications and uses,” he said.
Stablecoins now dominate Brazil’s crypto activity
The Central Bank’s report highlights the rapid shift in Brazilian crypto demand away from highly volatile coins such as bitcoin and towards stablecoins, which are generally pegged to the US dollar and designed to maintain a steady value.
Rocha explained that these dollar-linked tokens have become popular as a proxy for the US currency, particularly for payments and cross-border transactions, and now represent more than 90% of crypto asset demand tracked by the bank. This contrasts with a market that, only a few years ago, was far more concentrated in bitcoin and other fluctuating cryptocurrencies.
Stablecoins’ appeal in Brazil is tied in part to their role as a digital stand-in for dollars in an economy accustomed to exchange-rate swings. They allow individuals and companies to move value internationally and settle obligations while sidestepping direct exposure to the volatility seen in many traditional cryptocurrencies.
Data gaps and looming regulatory changes
The Central Bank’s statistics are based solely on transactions conducted through registered virtual asset service providers (VASPs), meaning the official numbers may not capture the full scale of crypto activity in the country. Nonetheless, Rocha said the trends are clear, while acknowledging the institution’s current view of the sector remains incomplete.
He noted that from next year the bank expects to have a more comprehensive understanding of how these assets are being used and where funds ultimately end up, as regulatory rules are tightened and reporting obligations increase.
As part of this shift, the Central Bank has decided to classify VASPs under “Class 3”, grouping them alongside securities brokerage firms, securities distribution firms and foreign exchange brokerage firms. Under this new framework, crypto platforms will be required to meet similar regulatory and compliance standards to those traditional financial intermediaries face.
The revised regime is scheduled to come into force in January 2027 and is expected to give the Central Bank greater visibility over the destination and use of crypto assets, including stablecoins, within Brazil’s financial system.
Tax move on hold amid political calendar
The rapid expansion in stablecoin use has already prompted a policy response in Brasilia. The federal government considered introducing a 3.5% levy on all stablecoin transactions, a measure that would have directly targeted the segment of the market now driving most of the growth.
That proposal, however, has been put on hold as the current administration, led by President Luiz Inacio Lula da Silva, has shifted its focus to the electoral cycle. Political calculations in Congress have delayed progress on the levy, which had been viewed as a way to respond to the booming digital dollar market while also addressing fiscal concerns.
For now, the Central Bank’s latest data depicts a crypto landscape in Brazil increasingly dominated by stablecoins, growing at triple-digit rates and moving towards tighter oversight – but still waiting for politicians to decide how far and how fast to tax the new digital money flowing through the economy.
