According to a Wednesday decree, the executive branch of Brazil has assigned the Central Bank and Securities Commission of the country as the responsible parties for the supervision of the crypto market.

Finance news outlet InfoMoney reported that the decree outlined the specifics of the exchange rules, including the licensing requirements for operating.

Former Brazilian President Jairbolsonaro signed a crypto-regulation bill in December 2022. The bill was approved by Brazil’s Chamber of Deputies as well as the Senate. The law established a “virtual services provider” license, and a crime of fraudulent activity involving virtual assets. Penalties ranged from four to six years of imprisonment plus a fine.

Brazil is a regional hub for crypto, with high adoption rates of stablecoins. Major crypto companies, including Bitget, Metamask, and crypto protocols have also opened offices in Brazil.