The Brazilian Central Bank Digital Currency (CBDC) pilot program initiated by the Brazilian Central Bank has recently announced its collaboration with Nubank, a Neobank known for its enthusiasm towards cryptocurrencies. This is alongside several other industry leaders and prominent players in the crypto space.
Nubank is a rapidly growing neobank known for its enthusiasm towards cryptocurrencies.
Embracing the crypto trend, Nubank has incorporated various crypto-related features into its applications and even launched its own cryptoasset.
Joining the CBDC Pilot: Itaú and Other Crypto Players
Initially excluding crypto firms from the pilot, the Brazilian Central Bank has now allowed their participation.
Itaú, a prominent conventional financial services provider with a growing interest in cryptocurrencies, will join Nubank as a partner.
Itaú ventured into crypto custody services last year, expanding its offerings to cater to the evolving financial landscape.
Consortium Approach: Smaller Crypto-Only Firms Join the Pilot
In addition to major players like Nubank and Itaú, the CBDC pilot will include smaller crypto-only firms collaborating in consortiums with larger companies.
Foxbit, a domestic crypto exchange, joins forces with the investment provider Banco Arbi and the neobank Pinbank.
The consortium also welcomes nTokens, a company specializing in blockchain and stablecoin solutions.
Renowned companies such as Microsoft, Visa, and Santander will also participate in the CBDC pilot.
Their involvement highlights the industry’s interest and commitment to exploring the potential of central bank digital currencies. These established entities bring their expertise and resources to contribute to the pilot program’s success.
The Brazilian Central Bank aims to evaluate the benefits of its prototype digital real using a specially developed platform based on blockchain technology and Distributed Ledger Technology (DLT).
While the pilot will take place in a simulated environment without real transactions or values, the bank seeks to assess whether the CBDC can enhance efficiency, transparency, and security in financial operations.
Furthermore, the bank envisions designing the CBDC to support the growth of domestic businesses.
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