Did you know that the Central Bank will create and issue a digital currency?
Posted: Thu Feb 20, 2025 6:13 am
Since their emergence more than a decade ago, fintechs — financial startups — have revolutionized the financial market. In Brazil, according to the Inside Fintech Report survey , conducted by Distrito Dataminer, last year fintechs raised US$ 1.9 billion, surpassing the results of US$ 1.1 billion in 2019. Among the categories that received the most investments, those that offer digital services stand out, with investments 80% higher compared to 2019.
Above all, in addition to the sector's remodeling, the data reveal the strength of the financial digitalization process , which has become one of the main pillars in the sector. Proof of this is the transformation promoted by payment methods. Last year, investment in the category reached US$ 251 billion — an increase of 2,612.01% compared to 2019.
The significant increase can be explained by the expansion of digital wallets and the implementation of PIX. And although this payment method is considered a milestone in financial digitalization, innovation in bahamas mobile database the sector continues to advance at a rapid pace. In August 2020, the Central Bank of Brazil (Bacen) began the first discussions about the creation of virtual currencies in the country and, in May 2021, published guidelines for the development of the first currency in Brazil: the Digital Real.
Known as CBDC (Central Bank Digital Currencies), the Digital Real will be issued by the Central Bank of Brazil and will allow Brazilians to interact with their money in a completely virtual way. In practice, this means that the digital currency is simply the virtual version of the country's currency and can be used to make purchases, as is the case with physical money, for example.
Although the modality has not yet been defined, the guidelines released by the Central Bank of Brazil help to form ideas about how the Brazilian digital currency will work. The expectation is that there will be integration with current payment systems, which will allow payment transactions to establishments, transfers between people, the possibility of connection with other central banks — a measure that will allow digital transactions with other countries — and the storage of the currency in a digital wallet of a financial institution, intermediated by the Central Bank of Brazil. In other words, when issued, the Digital Real will reach the end user through participants in the payment system, as is already the case with the real in cash. Furthermore, when instituted, the digital currency will not suffer any type of return.
Above all, in addition to the sector's remodeling, the data reveal the strength of the financial digitalization process , which has become one of the main pillars in the sector. Proof of this is the transformation promoted by payment methods. Last year, investment in the category reached US$ 251 billion — an increase of 2,612.01% compared to 2019.
The significant increase can be explained by the expansion of digital wallets and the implementation of PIX. And although this payment method is considered a milestone in financial digitalization, innovation in bahamas mobile database the sector continues to advance at a rapid pace. In August 2020, the Central Bank of Brazil (Bacen) began the first discussions about the creation of virtual currencies in the country and, in May 2021, published guidelines for the development of the first currency in Brazil: the Digital Real.
Known as CBDC (Central Bank Digital Currencies), the Digital Real will be issued by the Central Bank of Brazil and will allow Brazilians to interact with their money in a completely virtual way. In practice, this means that the digital currency is simply the virtual version of the country's currency and can be used to make purchases, as is the case with physical money, for example.
Although the modality has not yet been defined, the guidelines released by the Central Bank of Brazil help to form ideas about how the Brazilian digital currency will work. The expectation is that there will be integration with current payment systems, which will allow payment transactions to establishments, transfers between people, the possibility of connection with other central banks — a measure that will allow digital transactions with other countries — and the storage of the currency in a digital wallet of a financial institution, intermediated by the Central Bank of Brazil. In other words, when issued, the Digital Real will reach the end user through participants in the payment system, as is already the case with the real in cash. Furthermore, when instituted, the digital currency will not suffer any type of return.