Brazil’s central bank sees its central bank digital currency (CBDC) program as enabling banks to embrace distributed ledger technologies (DLTs) and tokenize their balance sheets, according to Renato Gomes, deputy governor at the Banco Central do Brasil. Talking at the OMFIF Digital Money Symposium, he outlined the potential to facilitate instant settlements when buying high-value items such as cars and real estate using the digital real. Other use cases involve dual offline payments and cross-border settlements.
The central bank does not see a need for a retail digital real due to the success of its Pix retail payment system. Mr. Gomes pointed out that the motivation for Brazil’s CBDC project has been less about improving retail payments but rather creating a wholesale framework for innovation based on DLT.
“We want to set up a common platform with governance led by the central bank so as to bring fintechs, DeFi actors, and traditional financial institutions to innovate with this new technology,” he says.
Article continues …
Want the full story? Pro subscribers get complete articles, exclusive industry analysis, and early access to legislative updates that keep you ahead of the competition. Join the professionals who are choosing deeper insights over surface level news.
