The Central Bank of Brazil announces a public consultation on the regulation of BaaS services by financial and payment institutions.

The Central Bank of Brazil (BCB) published Public Consultation Notice No. 108 on October 31, 2024, aimed at gathering contributions and suggestions from the public on the proposed resolution to regulate Banking as a Service (BaaS) offered by financial and payment institutions. The proposed regulation, which was already anticipated by the market, aims to increase security, efficiency, and competition in the sector, and is particularly relevant considering the importance of the BaaS model for the creation of new regulated products and services, especially as it allows new players to start operations even without prior regulatory approvals.