Central Bank of Brazil studies the creation of a cryptocurrency

The Central Bank of Brazil is studying the possibility of developing a digital currency, with the aim of creating a virtual digital extension of the Brazilian real to “accompany the dynamism of technological evolution of the Brazilian economy,” as reported in a statement.

The agency emphasized the importance of deepening dialogue with the private sector on this issue. For this reason, they explained that before defining an implementation schedule, the conversations with the different agents will allow a more detailed analysis not only of the use cases that can benefit from the issuance of a cryptocurrency, but also of the most appropriate technologies for its implementation.

However, the institution indicated that in the future it may reassess its position regarding the creation of the currency, depending on how the discussions evolve, given “the stage and dynamics of the discussions and development on the subject around the world.”

The announcement by the Brazilian Bank joins that of other central institutions exploring the option of developing cryptocurrencies. Last week, the US Federal Reserve announced that it plans to publish a report that will explore the implications of technology for digital payments, including a section focused on the possibility of the central bank issuing its own digital currency.

The Brazilian institution foresees that the cryptocurrency to be developed will contribute to increasing the efficiency of payments in stores, the promotion of new business models and the country’s participation in regional and global economic scenarios, increasing efficiency in cross-border transactions.

K. Tovar

Source: dpa