The president of Brazil’s Central Bank is clearly interested in cryptocurrencies, and it appears that the country is becoming increasingly interested in exploring blockchain solutions to improve the efficiency of its financial system.
According to the Central Bank’s Official Schedule, Roberto Campos Neto, the Central Bank’s head, held a videoconference with Brian Brooks and Jeremy Allaire on August 16 at 11 a.m.
The co-founders of Valor Capital Group LLC, a venture capital firm that has heavily invested in the development of several Brazilian startups, were also present.
Brazil Is Trying To Win The Crypto Race
The Central Bank did not provide any additional information. The agenda expressly states that the meeting is closed to the press, making the meeting’s content private. The only thing mentioned was that they talked about institutional matters.
In terms of cryptocurrency ETFs, Brazil is the most advanced country in South America. It currently owns two Bitcoin ETFs, one Ethereum ETF, and one ETF that tracks a basket of cryptocurrencies. Furthermore, the country is experimenting with blockchain technologies as part of a regulatory sandbox that began in 2020.
Brazil developed the PIX system earlier this year, a new interbank payment infrastructure that allows for free 24/7 transactions between different banking institutions. Following its introduction, the president of Brazil’s Central Bank stated that issuing a CBDC could be the next logical step in Brazil’s banking system evolution.
What did they discuss?
Given the foregoing, it is possible to make some educated guesses about what was discussed at the meeting. It’s possible that a proof-of-concept for this hypothetical CBDC was being discussed.
Circle is the driving force behind USDC, a dollar-backed stablecoin with a stellar reputation in the United States, thanks in large part to Coinbase’s support.
Brian Brooks, on the other hand, comes from running Binance’s North American branch and leading the legal teams for Coinbase and the US Office of the Comptroller of the Currency. His perspectives could be extremely useful in clarifying certain legal concepts and international scenarios associated with the issuance of a CBDC. Given his recent resignation, it is likely that the videoconference was arranged by a third party acting on his behalf, as he may have been invited due to his position as CEO of Binance. US.
This third party could be Joshua Sroge, Binance.CFO US’s since January 2020, who was recently appointed as the company’s new interim CEO.
Given the investors involved, it is also likely that some points about the current state of the cryptocurrency ecosystem in the country were discussed.
However, speculation is still premature. Because the President of the Central Bank has not issued a statement, it is possible that the meeting was merely an exploratory meeting prior to further approaches, as is common in the Brazilian administration.