Brazil’s Central Bank Orders Extrajudicial Liquidation of Frente Corretora

Overview

• The Central Bank, which ordered the extrajudicial liquidation Thursday, will shut the broker and examine its assets, and the law freezes the property of its controllers and former managers during the wind-down.
• Regulators said they acted because the firm’s financial condition had deteriorated and because they found serious breaches of the legal and regulatory rules for currency brokers.
• Frente is classified in the S4 tier for small institutions and ranked 78th in the Central Bank’s 2025 FX table, with just 0.021% of traded value and 0.054% of transactions in the national system.
• The case follows a series of interventions since late 2025 and is the second FX broker liquidation reported this year after January’s action against Advanced Corretora.
• Founded in 2017, the company touted fast growth, a 2022 minority stake from Travelex, and more than $2 billion moved in 2024, which contrasts with its very small footprint in 2025.