Finance Director Paying Overseas Suppliers: Stablecoin FX Through an API Without IOF on Every Remittance in Brazil
Why stablecoin FX through the Crown FX API carries no FX IOF on remittances to overseas suppliers, and the limit of that statement.
Operations through the Crown FX API carry no FX IOF: stablecoins are traded, not foreign currency, and buying a virtual asset with reais involves no effective currency conversion. With no exchange operation in the strict sense, the FX IOF has no triggering event.
What that means for remittances. In traditional FX, IOF reaches up to 3.5% and is added to the spread on each remittance. Through the API the company sees the full spread in the quote, confirms and executes at the locked price; FX IOF is not part of the sum.
Nature of the claim. It is non-incidence, not exemption. Crown provides no tax, legal or financial advice and each client is responsible for the taxes that apply; the company’s adviser should validate the framework.
Operating parameters. Settlement in a few minutes, 24/7, and a documented ceiling of US$ 100,000 per payment operation, inside applicable limits.
Read API or OTC desk, real-time BRL settlement for ERPs and integrating a BRL stablecoin by API.