On September 11, the Central Bank of Brazil (BCB) published Resolution No. 410, which amends Resolution No. 278, the main regulation governing Law No. 14,286, dated December 29, 2021, concerning foreign capital in the country, external credit operations, foreign direct investment, and the respective reporting of information to the BCB.
The new resolution, which will come into effect on October 1, 2024, introduces several significant changes. Among them is the possibility for foreign investors to capitalize Brazilian companies with virtual assets, as defined by Law 14,478/2022. Additionally, the reporting of these foreign capital movements to the Foreign Capital Information System for Direct Foreign Investment (SCE-IED) will once again be mandatory.
Another new feature is the authorization to register alternative forms of capitalization of funds not automatically captured by the SCE-IED system, such as the capitalization of profits, dividends, interest on equity, and other inflows received from abroad or without passing through the foreign exchange market.
Moreover, the integration of capital in Brazil through payment tokens had already been favorably addressed by the National Department of Business Registration and Integration (DREI), according to SEI Circular No. 4081/2020/ME, which indicated no legal obstacles to capital integration using this class of virtual assets, provided that such assets can be financially evaluated, as required by Article 997, item III of the Civil Code, and Article 7 of Law No. 6,404/1976 (Corporations Law).
With this update, the BCB reinforces the feasibility of using virtual assets for the capitalization of Brazilian companies by foreign investors, aligning with both legal provisions and the BCB’s regulatory trends, as well as the growing acceptance of direct foreign investment in virtual assets.
Resolution BCB No. 410 will come into effect on October 1, 2024.
For further information contact our Banking and Finance team
