The Central Bank president of Brazil announced that their official sovereign digital currency pilot would begin this year.
The announcement was confirmed at an event on Monday. The Central Bank president of Brazil spoke at the event, ensuring that a CBDC pilot program will be live by the second half of this year.
Roberto confirmed that the “Digital Real” will only have a certain fixed supply. He also added that only a certain limited amount of the CBDC will be minted.
The CBDC would be likely pegged to the national fiat payment system.
“This [using the STR in Real Digital] is a way of creating the digitalization of the currency without creating a rupture in the banks’ balance sheets. This project should have some kind of pilot in the second half of the year.
Brazil believes in crypto
Neto stressed that he still feels cryptocurrency is more popular as a form of investment than a way of payment but that this might change if mass acceptance increases.
The announcement of a CBDC pilot in the second half of the year comes after the central bank said a month ago that it had formed a cooperation with nine banks to help with CBDC development.
Brazil would join the growing list of countries working on their own digital currency if the head of the central bank gave his approval.
Brazil is looking to grab the opportunity of the growing crypto realm and trying not to fall back in the moving train. In February, Brazil also implemented a crypto bill, indicating that the country is not new in indulging in crypto activities.
The proposed bill will include various notions of how crypto will be regulated, how virtual assets will be recognized, and which federal organization will have the power to control and regulate it. Wise and diligent nations will soon fight to stay at the forefront of crypto adoption in the booming crypto economy.