How a BRL Stablecoin Is Issued and Redeemed: The Mint, Burn and Attestation Model
The issuer-attestor model of a BRL stablecoin: how mint and burn stay matched to federal-bond reserves, and how to acquire and redeem it in the primary market.
A Brazilian real stablecoin does not float a fixed supply. Tokens are created and destroyed to match demand, and the discipline that keeps supply matched to backing is the link between every mint and burn and the reserves that back the token. Crown issues the BRLV stablecoin and acts as both issuer and attestor of that supply.
The issuer-attestor model
BRLV is an ERC-20 token issued on three networks: Base, Ethereum and Tempo. Crown controls and attests the minting and burning of the tokens, always in correspondence with the reserves held in Brazilian federal government bonds. For every 1 BRLV in circulation, Crown holds R$1.00 in reserves composed of Letras Financeiras do Tesouro (LFT, also called Tesouro Selic), registered in the SELIC system and held by custodians authorized by the Central Bank of Brazil in a bankruptcy-remote structure.
Minting in the primary market
In the primary market, registered clients deposit reais via Pix or deposit USDC, and convert the balance into BRLV at 1 BRLV = R$1.00. That conversion is the mint: new tokens enter circulation only against a corresponding deposit, matched one-to-one by reserves in federal government bonds. Because reserves are kept at or above 100% of circulating BRLV, supply never runs ahead of backing.
Burning on redemption
Redemption is the reverse. A registered client asks Crown to redeem BRLV for reais; Crown converts the BRLV back to reais at 1:1 and sends the amount by Pix. The redeemed tokens are burned, which removes them from circulation as the matching reserve is released. This redemption right is also what anchors the price in secondary markets, as explained in how a Brazilian real stablecoin holds its peg.
Distribution beyond the primary market
Beyond direct issuance and redemption, Crown provides for distribution of BRLV through listings on centralized exchanges, liquidity in decentralized protocols and traditional financial-market vehicles. For institutions comparing direct liquidity with an FX desk, the trade-offs are set out in institutional BRL and dollar-stablecoin liquidity. Where the issued token can then be held is covered in where a Brazilian real stablecoin can be held.
Verifying the official contract
The official and always-updated contract addresses are published in the whitepaper at docs.crown-brlv.com. Any contract circulated outside Crown’s official channels should be treated as suspect.