Brazil's CVM launches tokenisation working group with 60-day sandbox deadline
Key points
- Brazil's CVM has established a Tokenization Working Group to develop regulation covering DLT-based securities activities.
- The group must deliver a regulatory sandbox proposal to the CVM board within 60 days.
- Its mandate runs for an initial 120 days, with a possible 30-day extension.
- Fourteen CVM organisational units contribute to the group, which can also include government agencies, self-regulatory organisations, and market associations.
- Coverage extends across registration, deposit, custody, trading, and settlement of securities on DLT infrastructure.
Brazil’s securities regulator, the Comissão de Valores Mobiliários (CVM), has created a formal Tokenization Working Group tasked with drafting regulation for securities activities built on distributed ledger technology (DLT). Its first deliverable is a regulatory sandbox proposal, which must reach the CVM board within 60 days of the group’s establishment.
The working group carries an initial 120-day mandate, extendable by a further 30 days, and draws on 14 internal CVM organisational units. It is also authorised to bring in participants from government agencies, self-regulatory organisations, and market associations, giving it both institutional breadth and external market input.
Its remit spans the full securities lifecycle on DLT infrastructure: registration, deposit, custody, trading, and settlement. The 60-day sandbox deadline signals that the CVM is moving toward a live testing environment rather than an indefinite policy review, which narrows the window for market participants to shape the framework before it is set.
More on the wire
- Eight more banks join China's e-CNY network as 2026 roster triples
- HSBC and Standard Chartered complete first live tokenised deposit transfer over Swift blockchain
- Citi Plans Bitcoin Custody Service for Institutional Clients Later This Year
- Citi Plans Crypto Custody Launch This Year, Starting With Bitcoin