- Brazil’s Central Bank has chosen 14 institutions, including prominent local banks, Visa, and Microsoft, for the digital real pilot, the country’s central bank digital currency (CBDC).
- The pilot program for the Real Digital is set to commence in mid-June 2023, out of a total of 36 interest proposals received from over 100 institutions across various financial sectors.
The Selection of Participants for Brazil’s CBDC Pilot Program
In a significant step towards the implementation of a central bank digital currency (CBDC), the Central Bank of Brazil has shortlisted 14 institutions to take part in its digital real pilot. This initiative aims to explore the potential of a digital version of the national currency, the real.
Inclusion of Major Banks and Multinational Corporations
Prominent among the chosen participants are some of Brazil’s largest private banks, including Bradesco, Nubank, and Itaú Unibanco. Banco do Brasil, the biggest public bank in the country, along with the local stock exchange, B3, have also been included in the list. Notably, multinational corporations such as Visa and Microsoft have been selected to contribute to this pilot, underlining the global interest and potential ramifications of this project.
As stated in an official announcement on Wednesday, the Central Bank of Brazil is expected to initiate the integration of these selected institutions into the Real Digital Pilot platform by mid-June 2023.
Wide-ranging Interest Across Financial Sectors
Highlighting the widespread interest in the CBDC pilot, the Central Bank of Brazil disclosed that it had received a total of 36 proposals from over 100 institutions. These spanned a broad array of financial sectors, with submissions coming from payment institutions, cooperatives, public banks, cryptocurrency companies, financial market infrastructure operators, and payment settlement institutes.
This broad base of interest reflects the anticipation surrounding the potential of CBDCs to transform monetary policy and financial infrastructure, while also hinting at the significant work ahead as Brazil navigates the challenges of digitizing its national currency.