The Brazilian National Bank for Economic and Social Development (BNDES) intends to transfer the national currency of the country – the Brazilian real – through Blockchain Ethereum to the form of a digital currency to increase the transparency of the financial sector.
"Any Brazilian can participate in transactions. Important information will not be stored in the database in BNDES. It will be publicly available in Blockchain »"Said Susana Maranhao, a member of the Token Team BNDES.
Borrowers from the State Development Bank will receive ERC-20 tokens called BNDES Token, each of which has a value of 1 real. They can be repaid in the National Bank of the country.
"There is an alternative cost between getting and paying off, but we estimate that this cost will be less than the current costs between the request for release, checking the conditions for issuance and transfer to the customer, and then paying the supplier", – says Vanessa Almeida, manager of BNDES systems development.
"In addition, the release of tokens will facilitate the accountability of BNDES customers, which can more than offset their cost. All this needs to be measured with real data, so it's very important to make proof of the concept with customers who see value in the proposal ", – she added.
This is a proof of the conceptual project, which will last until May this year as a result of the internal competition of innovations in the bank. It was held in 2017 year and it was presented 335 ideas.
The digital Brazilian real has been criticized by the community
"BNDES is the object of criticism and mistrust not only of the press, but of society as a whole. You have not thought about how we will know for certain that the BNDES resource is not used for money laundering. Or that no token leaves Brazil and went to Cuba ", rhetorically asked one of the employees of the bank Gladstone Arantes Jr..
There are a number of projects in which the public blockchain Ethereum is used to record.
The way Brazilian real tokens will be spent by contractors remains unclear, but since they are actually tied to the national currency of Brazil, there is no reason to worry about exchanging these coins.
So far, it should be observed how all this will happen. Blockchain should increase transparency and, possibly, in the future, it will be used by state enterprises and charitable organizations.
Author: Olga Novikova, Analyst Freedman Club Crypto News
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