Brazil’s largest cryptocurrency and digital asset platform, Mercado Bitcoin has finally entered into a partnership with the Steller Development Foundation (SDF) in an effort to spur the establishment of a central bank digital currency (CBDC) in the country.
The project is supported by the Central Bank of Brazil (BC) and the National Federation of Central Bank Servers Association (FENASBAC) with a focus on various CBDC -related use cases to be released in BC.
It is understood a total of nine projects have been presented by the Laboratory of Financial and Technological Innovations of Brazil (LIFT) and one of them is the responsibility of Mercado Bitcoin.
They will develop a minimum viable product (MVP) that meets the requirements of the Brazilian government in the implementation of the CBDC.
This is where Mercado Bitcoin will develop a sustainable solution using Stellar technology: "The benefits offered by this blockchain are enough to be assessed by the central bank."
At the same time, Stellar is also preparing a use case for the Brazilian CBDC, showing they are keen to change the handling of money in the country.
Expected launch of CBDC Brazil
BC Governor Roberto Campos Neto revealed the launch of the CBDC is expected to take place in the second quarter (Q2) of 2022 starting with pre -testing before being officially launched for public use.
This exciting news brings positive movement for the XLM price.
At the time of writing, a unit of XLM is trading at $ 0.13, up nearly 8% since its daily record low, $ 0.12 yesterday afternoon, 3% in 24 hours but still down nearly 5% since last week.
The asset is still far from an all -time high (ATH), $ 0.9 recorded on Jan. 4 and needs an 86% jump to redeem the previous record.
