The word Brasiguaio is a combination of the Portuguese words brasileiro + paraguaio, in Spanish Brasiguayo (brasileño + paraguayo). Regardless of their country of birth, where they have lived most of their lives or if emigrated from one country to another, Brasiguaios are commonly called those people with socio-cultural ties in both countries.

The first use of the term Brasiguaios was recorded in 1981. However, some individuals in the landless camp Antônio Irmão claim that the name Brasiguaio was already used in Paraguay in the 1970s, or even before. Although the Brasiguaios are generally presented as a homogeneous group, especially by the media, people with different life stories connected to Brazil and Paraguay call themselves or are called as Brasiguaios.