Brazil will address the subject of digital currencies and how they can improve the financial system for the Group of Twenty (G20). Roberto Campos Neto, president of the Central Bank of Brazil, stated he wants the G20 to consider the benefits of using these currencies for making financial transactions and to work towards adapting rules to take advantage of this.
Brazil to Discuss Digital Currencies as G20 President
The government of Brazil will discuss digital currencies and the possible benefits of implementing them for financial transactions as part of the Group of the Twenty (G20). Having assumed the G20 presidency on December 1, Brazil will leverage its position to advance the digital agenda and assess how the twenty largest economies could adapt their regulatory frameworks to take advantage of digital currencies.
At a recent event, Roberto Campos Neto, president of the Central Bank of Brazil, explained Brazil will touch on this subject in the group. According to Valor Economico, he stated:
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 referred to the improvements that programmability, a trait of digital currencies, brings to the financial transactions arena, clarifying that it can offer efficiency gains due to the possible scheduling of asset purchases and payments.
Monetization of user data will be a significant factor in lowering the costs associated with using these currencies, Campos Neto stressed. “It is a technology that is here to stay. It democratizes,” he concluded.
Brazil is currently in the pilot stages of its upcoming digital currency, dubbed drex, which features an elevated degree of programmability, including automating transactions involving assets such as cars and real estate. The launch of this currency could happen in 2024, according to previous statements from Campos Neto.
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