This document discusses the challenges and opportunities of implementing REDD+ in São Felix do Xingu, Brazil. São Felix do Xingu has high deforestation rates, with cattle ranching and illegal logging as key drivers. To address this, a Pact to End Illegal Deforestation was created between producers, industries, NGOs and governments. A Rural Environmental Registry was also established to register land ownership and use. These efforts led to an 79.3% reduction in deforestation between 1999-2013. However, command and control alone is not enough - positive incentives for smallholders through alternative livelihoods like cocoa farming are also needed. Major ongoing challenges include consolidating multistakeholder participation and governance, and