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After a pilot program that was closed to the public next year, the Brazilian central bank plans to launch its digital currency by 2024 in partnership with financial institutions.
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According to Roberto Campos Neto, president of the Central Bank of Brazil, the digital currency will be launched by the Central Bank of Brazil in 2024.
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Compos Neto spoke to Poder 360 at an event, stating that the project has received much international attention.
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According to Reuters reports, he said that the central bank's digital currency would encourage banks to tokenize their assets. This would result in significant efficiency gains.
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He stated that "if the digital currency is a tokenized deposit, it inherits all of the regulation that applies to deposits."
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Campos Neto stated that the tokenization of deposits would also help banks reduce their settlement, auditing, and funding costs.
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Campos Neto stated that the project shouldn't disrupt monetary policy nor harm banks' balance sheets.
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According to Campos Neto, the benefits of digital currencies should be to increase banks' settlement, auditing and funding costs.
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