Binance Seeks License, Delists 22 Tokens as Brazil Markets Plunge After Lula’s Win

• Binance applied for a crypto service provider license in Brazil ahead of the October 30 deadline
• The exchange is restricting eight services and removing 22 tokens from trading for Brazilian users
• Brazil’s Bovespa index fell 13.9% on October 26 after Lula da Silva won reelection

Binance is seeking permission to keep its crypto business running in Brazil as a regulatory deadline approaches. The exchange has applied for a local license and is already preparing changes that will affect what its Brazilian customers can trade. The filing also comes during a turbulent week for the country’s financial markets, following President Lula da Silva’s reelection. For Binance, the focus turns to what its Brazilian business will look like under the new rules.

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Binance Brazil Applies for Crypto License

Binance submitted its application to Brazil’s central bank through its local entity, BBrasil, according to reports. The filing came ahead of the October 30 deadline for existing crypto providers to seek authorization.

The exchange says the application is intended to let Brazilian customers continue accessing services including crypto trading and payments. Submitting the paperwork does not mean the central bank has approved the Binance license.

Brazil’s licensing framework requires existing providers to apply within the transition period. Firms that file on time can continue operating while their applications are reviewed.

Binance already has a presence in the country through its acquisition of licensed broker-dealer Sim;paul, which received central bank approval in 2025. The new application concerns its virtual asset services.

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What Binance Customers Will Lose Access To

From October 27, Binance is restricting eight products and services in Brazil, including crypto loans, margin trading, Binance Pool, and Launchpool. The exchange is also removing 22 tokens from trading for local users, according to its Brazil service update.

The changes affect customers differently. Existing margin positions can remain open for now, Binance says, but users cannot place new margin orders or borrow additional funds. Holders of the affected tokens will still be able to withdraw them after trading ends.

Binance’s Brazil general manager, Thiago Sarandy, said that the company hopes discussions with the central bank will eventually allow it to restore some discontinued products.

Brazil Stock Market Falls After Lula da Silva’s Win

The licensing changes arrive as investors assess a sharp shift in Brazil’s political outlook. The Brazil stock market fell after Lula da Silva won reelection, reversing bets that his opponent, Flávio Bolsonaro, would take office.

The benchmark Bovespa closed 13.9% lower on October 26, its largest daily drop since March 2020, according to reports. Trading was briefly halted, and the Treasury canceled two scheduled bond auctions.

Binance announced its service restrictions before the election. Its application now puts the exchange’s next steps in Brazil before the central bank as markets adjust to Lula’s victory.

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