Brazils Central Bank Enters the Era of Digital Currencies: Pilot CBDC Drex and Tokenized Real

The Central Bank of Brazil launches pilot of the central digital currency Drex

The Central Bank of Brazil has announced the start of the application process for companies interested in participating in a pilot project concerning the central digital currency (CBDC) named Drex. The current stage of accepting applications began on October 14 and will last until November 29.

Approved cases related to tokenized real estate

The Central Bank of Brazil has already accepted 13 applications related to tokenized real estate. Among the submitted cases are government loans, assets linked to the agribusiness sector, public assets, car transactions, bond loans, coal loans, and real estate.

Phase two of the Drex pilot

The Steering Committee for the Drex pilot is reviewing applications for the use of the digital token real from October 14 to November 29. This second phase of the project aims to expand the participants’ group and test more complex use cases of the central digital currency.

Global trend in the development of central digital currencies

The development of CBDC is also taking place in other countries, and Brazilian efforts are in line with the global trend. According to data from the Atlantic Council, as many as 134 countries are considering introducing central digital currencies, with 65 countries already in advanced stages of development.

Chinese digital currency e-CNY

By way of comparison, the Chinese digital currency e-CNY, or digital renminbi, had registered 180 million personal wallets and a total transaction volume of 7.3 trillion yuan by October 11, amounting to approximately 1.02 trillion dollars.

Summary

The introduction of the central digital currency Drex in Brazil is a step towards modern financial solutions. The development of blockchain technology and asset tokenization is becoming increasingly common, which could contribute to streamlining the financial sector in a global context.