Central Bank Regulates Environment That Enables Contactless Pix And Amends Capital And Equity Rules For Payment Institutions

Central Bank of Brazil Updates Regulations on Electronic Payments and Open Finance

August 02, 2024

On August 02, 2024, the Central Bank of Brazil (BCB) published BCB Resolutions No. 4,762 and 4,763, which establish new regulations for electronic payments and Open Finance.

BCB Resolution No. 4,762

Resolution No. 4,762 updates the regulations governing electronic payments coursed through InstaPay. These changes include:

* Defining the responsibilities of participants in the InstaPay system * Establishing new security standards for InstaPay transactions * Clarifying the process for settling InstaPay payments

BCB Resolution No. 4,763

Resolution No. 4,763 introduces a new regulatory framework for Open Finance in Brazil. This framework includes:

* Establishing the principles and objectives of Open Finance * Defining the roles and responsibilities of participants in the Open Finance ecosystem * Creating a new regulatory body to oversee Open Finance

Implications for Financial Institutions

These new regulations will have a significant impact on financial institutions operating in Brazil. Financial institutions will need to:

* Update their systems and procedures to comply with the new regulations * Invest in new technologies to meet the security standards established by Resolution No. 4,762 * Develop new products and services to take advantage of the opportunities created by Open Finance

Implications for Consumers

These new regulations will also benefit consumers by:

* Increasing the security of electronic payments * Making it easier to compare and switch financial service providers * Promoting innovation and competition in the financial services sector