Brazil’s Central Bank President claimed, even though there’s an ongoing study about the potential integration of the digital currency in the country, Brazil could release a central bank digital currency by 2022.
This statement may signify possible progress between the relationship of the crypto-driven market and blockchain technology in Brazil. The Central Bank of Brazil Roberto Campos Neto said that the country could have the necessary conditions for implementing a central bank digital currency (CBDC) sometime during 2022. Reports suggest that Brazil just recently began its serious quest in considering CBDC’s implementation on the Central Bank by creating a core team to evaluate the idea. Decrypt argued that the country has been working for quite a bit longer to update its banking infrastructure, developing a technology capable of processing interbank payments without a time limit, practically free and instantaneously.
Recently, the Central Bank of Brazil announced that it was planning to launch an instant payment system (PIX) for November, an Open Banking initiative that will hopefully increase competition on a national financial level, according to one source. The Brazilian newspaper Correio Braziliense shared Neto’s statement regarding the key elements he thought were crucial in preparing for digital currency issuance, “To have a digital currency, you need an instant payment system that is efficient and interoperable; an open system, where you can create competition; and a currency that has credibility, is convertible and international. This payment system could be the renowned PIX that is about to be launched.”
The new CBDC could be considered a compliment to PIX. The Central Bank has not made clear whether Campos Neto's words are hypothetical or based on a scenario that is being considered by financial authorities, said by Decrypt.