According to Livecoins, since the enactment of Law No. 14,478/2022 in Brazil and the central bank's release of new regulations on virtual asset supervision, local Bitcoin P2P traders have been facing significant operational pressures. Several interviewed P2P operators stated that the new regulations set high thresholds for virtual asset service providers (VASPs), including a minimum capital requirement of approximately $2.26 million, with exchange-related thresholds reaching up to about $5.66 million, and demanding complex compliance, auditing, and system architecture. Industry insiders believe that the rules lack proportionality, which could make it difficult for small traders to continue operating, leading to market concentration among large institutions, with some independent operators shifting to informal channels or relocating their businesses to overseas jurisdictions with weaker regulations.