Santander proposes tokenization and asset swap project with Brazilian CBDC

Santander, one of the world’s largest banking institutions, has proposed to expand the scope of the potential use of Digital Real as a central bank digital currency (CBDC) in Brazil.

Santander relies on technology from another company, ParFin, to symbolize the ownership of assets in a transaction and manage the exchange of money, in this case virtual currency, for the asset.

Santander’s latest CBDC proposal is part of the LIFT challenge, a series of projects selected by Brazil’s Central Bank to find appropriate applications for digital real, which is expected to debut in 2024.

According to Jayme Chataque, executive superintendent of Santander’s Open Finance, the objective of this project is to streamline the transaction processes with different types of property through the platform.

“The idea is that, through tokenization, Brazilians can safely negotiate the sale of vehicles or real estate through smart contracts on authorized blockchain networks,” he said.

Santander now joins an already long list of institutions that are part of the LIFT challenge, the other eight projects were selected with the aim of testing the feasibility of several proposals using Digital Real as a platform.

Read:  The Ukrainian cities of Lviv and Odessa impose night curfew

Other institutions, including Mercado Bitcoin, are proposing similar solutions this year. Visa do Brazil is also participating in a proposal that aims to deploy a decentralized financing protocol to propose financing for small and medium-sized businesses using digital real.

There is also a plan that would use the aforementioned CBDC to introduce offline payments, allowing buyers and sellers to do business without using the Internet.

Santander is also willing to add crypto-currency services to its range of offerings. The company said in June that it would soon allow Brazilian consumers to trade crypto-currencies in the coming months. The bank added that it was building the infrastructure to make access to the crypto-currency market available to institutional and retail customers.

Read:  One analyst expects the stock market to fall by 50% from now on!

Santander announced again in March that it was working with AgroToken, a company that creates agricultural commodity tokens, to launch a trial program for an Argentine loan offering backed by these tokens.

The Best Online Bookmakers April 16 2024

BetMGM Casino