Roberto Campos Neto, President of the Bank of Brazil, explained the future of personal finance in relation to the digital reality, the Central Bank Digital Currency (CBDC). While demonstrating the “super app” with the capabilities of PIX (Payments Network) and connection with other stablecoins that were already in the market, Neto demonstrated the idea of ”open finance” during the event.
Possible direct links between cryptocurrency and real digital
The digital reality, the expected Brazilian CBDC, is ostensibly expanding to contain more and more capabilities. The President of the Bank of Brazil, Roberto Campos Neto, demonstrated the bank’s idea for the final form of the currency. On November 25th.
Campos Neto presented the organization’s currency concepts under the title “Open Finance” at an online event.
This concept involves merging traditional, decentralized financial organizations and structures with the still-evolving digital world. A “super app” that enables users to store stablecoins and CBDCs was also on display at the event, demonstrating the system’s integration with the existing PIX payments network.
Campos Neto added clarifications to the application form:
This is basically a preview of what that integration would be like. Instead of having many apps from different banks on your smartphone, you will have some kind of integration.
In this way, the app will allow users to have a complete picture of their savings, traditional or crypto-based, in just one place.
push for digitization
While the true digital concept has been in development for some time, there is no estimated date of completion as the central bank and other organizations continue to test the various applications and functions that this new currency will have. However, opposite to what Campos Neto states, numerous important financial institution virtual currencies are already being examined via way of means of myriad important banks.
In this regard, Campos Neto explained:
The bridge to the defi environment is the real digital part. We integrate the banking system with the digital world. Different central banks act in the opposite way. In fact, they are pushing digital banking far.
Contrary to what Campos Neto claims, several central banks are now testing a number of digital currencies. The European Union is now considering adopting a digital euro, and regulations are expected soon. A proposal to get rid of physical money has gained traction in Argentina, and the Federal Reserve Bank of New York is similarly testing an interoperable network of wholesale digital central bank money.