Brazil's Central Bank initiates public consultation on virtual asset accounting standards.

On June 26, the Central Bank of Brazil (BCB) initiated a public consultation process regarding a proposal to regulate the accounting recognition, measurement, write-off, and disclosure standards for virtual assets and utility Tokens in Financial Institutions and other entities under its supervision.

The main points of the proposed resolution include: the standards for initial recognition and subsequent measurement, the accounting treatment methods for virtual assets issued and third-party virtual assets held in custody, as well as the disclosure requirements in the notes to the financial statements, which need to detail the changes in asset value, the nature of the assets, and the obligations related to the issued assets.