TL;DR
- Itaú Unibanco formally notified Brazil’s Central Bank of its crypto trading and custody activities, becoming the first Brazilian bank to complete the process under new rules.
- The bank used the notification pathway available to already-authorized financial institutions rather than seeking the operating authorization required for dedicated virtual-asset service providers.
- Itaú has offered crypto trading since December 2023, with more than 14 assets available, while the October 30 compliance deadline approaches.
Itaú Unibanco has formally notified Brazil’s Central Bank of its virtual-asset activities, bringing its existing crypto trading and custody services into the country’s new regulatory framework. The filing reported on October 27 covers intermediation and custody, a combination classified as virtual-asset brokerage under the rules. Itaú becomes the first Brazilian bank to complete this formalization process, adding a regulated banking example to the broader debate around institutional crypto custody.
Itaú Uses the Notification Route Available to Authorized Banks
Unlike dedicated virtual-asset service companies, Itaú did not need to apply for a separate operating authorization because it is already a financial institution supervised by the Central Bank. Instead, banks already authorized to operate follow a notification procedure for these activities. The distinction separates Itaú’s compliance pathway from the authorization process required for specialized crypto providers, reflecting Brazil’s streamlined regulatory route for banks entering crypto.
Itaú has offered cryptocurrency buying and selling since December 2023 and currently provides more than 14 virtual assets, including Bitcoin, Ether and USDC, while also maintaining custody for those assets. The bank has not disclosed how many customers use the service or the financial volume traded through it. The October filing formalizes an existing business rather than marking the launch of a new crypto brokerage, as Brazil moves existing operators into its formal virtual-asset service framework.
The compliance timeline is also important. Central Bank Resolution 520 took effect on February 2 and gave eligible financial institutions already providing crypto services 270 days to notify the regulator, creating an October 30 deadline. The process requires an independent technical certification demonstrating compliance with applicable requirements. Institutions that miss the notification deadline must stop providing virtual-asset services within 30 days, while dedicated providers already operating face their own authorization process under the same regulatory transition.
The development places Itaú ahead of the deadline as other market participants also move to align with Brazil’s rules. Dedicated providers do not receive the same notification route available to already-authorized banks and must instead seek operating authorization. That contrast can also be seen in recent authorization filings by crypto exchanges in Brazil. Itaú’s move therefore represents regulatory formalization of trading and custody inside an existing banking license, not a newly granted crypto license. The bank’s services continue under Central Bank supervision as Brazil transitions crypto activity into a more defined institutional framework overall.
