Brazil ‘on track’ to release digital currency this year
by: Dynasty GI2022-04-15
The president of Brazil’s central bank, Roberto Campos Neto, stated that pilots for its digital currency are expected to start in the last quarter of the year despite some delays caused by industrial action involving employees at Banco Central do Brasil.
Brazil’s central bank digital currency (CBDC) has been named the Real Digital, after its fiat currency, the Real, and its pilot phase later this year follows guidelines released in May 2021. At the time, the central bank stated that the Real Digital would work as an extension of the traditional currency, with its distribution to be intermediated by institutions that form part of the country’s National Financial System and the Brazilian Payment System. The move by Brazil’s Central Bank is part of a larger process of modernisation of the country’s payment industry, which saw the recent launch of Pix, a mobile phone-based instant payment system for businesses and individuals.
"Brazil’s authorities, perhaps rightly so, have adopted a cautious approach towards crypto regulations. The Real Digital will be an important step towards making cryptocurrencies more popular in a country with huge potential to become a digital asset powerhouse."
Commented the founder and CEO of Dynasty Global, Eduardo Carvalho.