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Shifting cultivation systems have been blamed as the primary cause of tropical deforestation and are being transformed through various forms of conservation and development policies and through the emergence of new markets for cash crops. Here, we analyze the outcomes of different policies on land use/land cover change (LUCC) in a traditional, shifting cultivation landscape in the Atlantic Forest (Brazil), one of the world’s top biodiversity hotspots. We also investigate the impacts of those policies on the environment and local livelihoods in Quilombola communities, which are formed by descendants of former Maroon colonies. Our findings show that conservation and social policies have had mixed effects both on the conservation of the Atlantic Forest and on the livelihoods of the Quilombola. We conclude that future interventions in the region need to build on the new, functional links between sustainable livelihoods and biodiversity, where less restrictive state policies leave room for new opportunities in self-organization and innovation.