As the current president of the Group of Twenty (G20), Brazil is set to initiate discussions on the utilization of digital currencies and explore their potential advantages for financial transactions among the world’s twenty largest economies. With its G20 presidency commencing on December 1, Brazil aims to propel the digital agenda forward and assess how regulatory frameworks can adapt to harness the benefits of digital currencies.
Roberto Campos Neto, the President of the Central Bank of Brazil, highlighted that Brazil will address this pivotal topic within the G20. In his remarks, reported by Valor Economico, he emphasized:
“Digital currencies can greatly reduce the costs of international transactions. The G20 will work to improve the settlement and governance of international transfers.”
Campos Neto emphasized the advantages of programmability inherent in digital currencies, citing efficiency gains achieved through the scheduled execution of asset purchases and payments. Additionally, he underscored the role of monetizing user data in lowering associated costs, characterizing this technology as a transformative force with enduring significance.
Currently, Brazil is in the pilot phase of developing its forthcoming digital currency, named “drex.” Drex boasts a high degree of programmability, enabling automated transactions involving assets like cars and real estate. According to earlier statements by Campos Neto, the official launch of drex is anticipated in 2024.
This initiative positions Brazil at the forefront of global efforts to explore and integrate digital currencies, with a particular focus on leveraging their potential to enhance international transactions and foster financial efficiency.
