Brazil’s Central Bank to Launch a CBDC

Brazil’s Economy Minister Paulo Guedes has confirmed plans of launching a central bank digital currency (CBDC).

During a ceremony devoted to opening of the 100 millionth savings account in Caixa Economica Federal, the economy minister revealed that Brazil would have its own digital currency.

It is expected the CBDC to be in circulation by the year 2022. According to the central bank’s statement, it will only be used for foreign exchange transactions in and out of the country as for digital real.

Central banks across many countries are currently exploring CBDCs, and many of them have progressed quite far. As previously reported, several major national banks, including the Bank of Japan, the Philippines’ central bank, are working on a CBDC.

As previously reported, the European Central Bank has unveiled plans to launch a digital version of the Euro, according to the Bloomberg report. The pilot will start on Oct. 12 and be held along with a public consultation. It is expected ECB will end the experiment in mid-2021after which they could decide on the digital euro issue.

The People’s Bank of China is about to issue its national digital currency, dubbed DCEP. The news comes amid China steadily accelerating the pace of its blockchain adoption.