For Advertising Inquire via
Select Page

This post was originally published on this site

Join Our Telegram channel to stay up to date on breaking news coverage

Brazil’s central bank has given the green light to Mercado Bitcoin, the leading cryptocurrency exchange in the country, enabling its participation in the pilot initiative for the digital Real.

The digital Real represents Brazil’s very own central bank digital currency (CBDC). The development marks a significant milestone for the exchange and highlights the growing acceptance of cryptocurrencies within the nation.

Brazilian Crypto Exchange, Mercado Bitcoin, Joins Central Bank’s Digital Real Pilot

Mercado Bitcoin’s participation in the pilot program is made possible through a consortium led by the exchange, which includes notable partners such as Mastercard, broker Genial, registrar Cerc, and financial software fintech Sinqia.

By joining forces, these industry leaders aim to explore the potential benefits and challenges of incorporating a CBDC into Brazil’s financial landscape.

After facing exclusion from the central bank’s initial selection of 14 participants in May, Mercado Bitcoin has now triumphed in gaining approval.

The reason behind their initial exclusion was the absence of a regulated financial or payment institution within their consortium, which was essential for direct access to Brazil’s national financial network.

However, the tides turned in their favor when Mercado Bitcoin obtained a payment institution license from the central bank on June 2. This pivotal achievement ensured that they met all the required criteria, allowing them to secure their rightful place in the pilot program.

Brazil CBDC

Fabricio Tota, the director of new business at Mercado Bitcoin, emphasized the significance of their participation, stating, “Our participation validates the Central Bank’s intention to bring innovation to the financial system with those who have already been working with this technology and not just with the incumbents who have appropriated it,”

Mastercard, a key participant in the consortium, expressed its enthusiasm for the pilot program. Walter Pimenta, the executive vice president of Products and Engineering at Mastercard Latin America and the Caribbean commented on the matter.

“We are pleased to be part of the consortium selected to join the Real Digital pilot in Brazil. Mastercard continues to engage in a series of partnerships to build trust and compliance in the digital assets ecosystem, while also solving real-world problems,” he remarked.

The central bank will kick off the inclusion of participants into the Real Digital Pilot platform in mid-June 2023. Mercado Bitcoin’s consortium, at the helm, will actively engage in testing the issuance of the CBDC and treasury bills, as well as evaluating the network’s technical aspects and governance model.

The CBDC is scheduled for official rollout in 2024, aligning with the central bank’s objective of promoting financial inclusion and broadening access to the financial system through the implementation of a digital currency.

Strong Step to Strengthen Brazil’s Financial Landscape

The central bank’s recent action aims to ensure that a larger portion of the population can partake in secure and efficient digital transactions, thereby bolstering participation in the financial system.

Brazil Financial Landscape

The participation of Mercado Bitcoin, a prominent local cryptocurrency exchange, signifies the increasing recognition of the immense value and potential that blockchain-based technologies offer to the financial sector.

Through its partnership with Mastercard, Mercado Bitcoin highlights the collaborative endeavors aimed at building trust, ensuring compliance, and exploring practical applications for digital assets. CBDC holds promising prospects for Brazil’s financial landscape.

The involvement of diverse consortium members will contribute to the development of a robust and inclusive framework for the digital currency, ensuring its relevance and effectiveness for all stakeholders involved.

This knowledge will inform the central bank’s ongoing refinements, playing a pivotal role in shaping the future of Brazil’s digital currency ecosystem.

As Brazil ventures into the realm of CBDCs, this bold initiative sets the stage for a new era in the nation’s financial landscape, where innovation and collaboration with cryptocurrency pioneers will shape the future of digital currencies and their integration into mainstream financial systems.

Related Articles

  1. CBDCs To Be Included On IMF Global Platform
  2. Potential US CBDC Should Prioritize Privacy, Says US Treasury Official
  3. How to Buy Bitcoin Safely?

Wall Street Memes – Next Big Crypto

Wall Street Memes
  • Early Access Presale Live Now
  • Established Community of Stocks & Crypto Traders
  • Featured on BeInCrypto, Bitcoinist, Yahoo Finance
  • Rated Best Crypto to Buy Now In Meme Coin Sector
  • Team Behind OpenSea NFT Collection – Wall St Bulls
  • Tweets Replied to by Elon Musk

Wall Street Memes

Join Our Telegram channel to stay up to date on breaking news coverage