O real digital it will be the first Brazilian digital currency and is part of the Central Bank (BC) strategies with the objective of promoting the digitalization and development of the financial market in Brazil. Basically it will be a coin alternative, with the same value as the physical real. Keep reading to better understand this news.
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What is known so far about the digital real?
The growth of crypto assets has stimulated central banks in several countries to develop their digital currencies. In this sense, the BC's innovation laboratory has already selected nine projects that aim to program applications for the digital real, the national digital currency that should be launched in 2024.
The digital real is basically an alternative digital currency with the same value as the physical real. So far, it is already known that after the implementation of the currency it will be possible to make offline transfers and facilitate international payments, as well as streamline the processes of selling and buying real estate.
The currency can be converted to any of the currently available payment methods, such as bank deposit, in addition to being converted into physical real, and can be used in personal transfers and payment of accounts.
The objective is that the digital real has new functions, which are not compatible with the conventional real. For this, firstly, the works of the Lift Challenge, a partnership between the BC and the National Federation of Associations of Central Bank Employees (Fenasbac), were selected.
Giesecke+Devrient, one of the international companies selected for the Lift, is of German origin and has experience in the area of technology in finance. In this sense, its project, which is quite interesting, aims to enable the transfer of values even when the two parties involved in the operation are offline.
Challenges
Currently, the main challenge for the implementation of a national digital currency is that the Brazilian payment system it is already modern and has good solutions at the moment, which serve well both wholesale and retail payments.
The projects under analysis are from the following companies: Aave, Febraban, Banco Santander Brasil, Itaú Unibanco, Giesecke + Devrient, Mercado Bitcoin, Visa do Brasil, Vert and Tecban. There is still a long way to go before the launch of the digital real, but everything is heading towards boosting the Brazilian economy.
