Brazil is set to regulate institutional virtual asset service providers (VASPs) by 2027, according to the Central Bank of Brazil. These regulations will target organizations that provide crypto infrastructure and services to other institutions, such as Ripple, Fireblocks, and Bitgo. Antônio Marcos Guimarães, deputy head of the bank’s Regulation Department, announced the initiative, which aims to bring clarity to the Business-to-Business (B2B) crypto sector. The regulatory framework is expected to be developed between 2026 and 2027, following public consultations. The complexity of institutional VASPs, which operate on decentralized private networks without brokerage, has delayed the regulatory process. Additionally, Brazil's national revenue service plans to impose a 3.5% tax on stablecoin flows to address their use as dollar proxies for payments and remittances.