Brazil Crypto Adoption Rises as Gen Z Favors Stablecoins Over Volatility
Brazil’s cryptocurrency market is evolving beyond speculation as investors increasingly turn to lower-risk digital assets. A new report from Mercado Bitcoin shows a clear shift in 2025, with younger users favouring stablecoins and tokenised bonds over volatile coins. This change comes as regulators tighten oversight to stabilise the growing sector.
Mercado Bitcoin’s 2025 investor report reveals a notable trend: younger investors are moving away from high-risk cryptocurrencies. Those under 24 increased their crypto participation by 56%, but many now allocate funds to safer options. Middle-income users, in particular, hold most of their assets in tokenised bonds and stablecoins, seeking stability over speculation.
The exchange’s digital fixed-income products, known as *Renda Fixa Digital* (RFD), performed strongly in 2025. These tokenised instruments, backed by real-world assets, delivered average returns of 132%—far outpacing Brazil’s benchmark interest rate, the CDI. Mercado Bitcoin distributed around $325 million through these products last year, reflecting growing demand. Overall trading activity on the platform surged by 43% compared to 2024, with Mondays emerging as the busiest day for both new sign-ups and transactions. Despite this growth, lower-income investors still allocate over 90% of their funds to volatile cryptocurrencies, highlighting persistent disparities in risk appetite. Regulatory changes are also shaping the market. Last month, Brazil’s central bank introduced stricter rules, requiring crypto service providers to obtain licences and meet capital requirements. These measures aim to improve transparency and reduce risks in the sector. Beyond Mercado Bitcoin, firms like Hashdex and QR Asset Management now offer blockchain-based fixed-income products, including tokenised bonds and real-world asset (RWA) investments, regulated by the CVM since 2023.
The shift toward tokenised assets and stablecoins suggests Brazil’s crypto market is maturing. With stronger regulations and higher returns on fixed-income products, digital investments are becoming a more permanent part of the financial landscape. Younger investors, in particular, are driving this trend toward long-term integration over short-term gains.
