As a seasoned crypto investor with a keen interest in global financial innovation, I find the recent development of DREX phase 2 by Brazil’s Central Bank particularly exciting. Having witnessed the evolution of blockchain technology and its potential to revolutionize various industries, I am confident that this initiative will pave the way for more efficient trade finance processes.
The Brazilian Central Bank has moved forward with the second stage of its digital currency initiative called DREX, with a focus on showcasing trade finance as a novel application.
On November 19, the Central Bank of Brazil revealed that they had chosen Chainlink, Banco Inter, Microsoft, and 7COMm to take part in the second stage of their digital currency project trial.
This method utilizes blockchain technology and oracle networks to streamline supply chain operations and optimize trade financing procedures, making them more automated.
During this stage, we’ll leverage Chainlink’s cross-chain communication technology to make transactions seamless and compatible across our pilot system and a foreign central bank. The primary goal is to ensure smooth transaction settlement.
The Chainlink CCIP (Chainlink Decentralized Oracle Services) plays a vital role in facilitating secure, multi-currency, multi-chain transactions across borders. It demonstrates the potential of tokenized assets when applied at scale, particularly for central bank digital currencies (CBDCs) in Brazil.
Angela Walker, global head of banking and capital markets at Chainlink Labs
DREX phase 2 will commence in coming weeks
Based on BCB reports, the initial trial will see partnering entities working together to digitally represent a shipping document called an Electronic Bill of Lading on a blockchain platform. This action will automatically set off payments to suppliers using information from the supply chain.
In reference to the entire shipping process, Drex intends to demonstrate the advantages of utilizing blockchain technology in trade finance. According to the announcement, this encompasses efforts to facilitate the resolution of Delivery versus Payment (DvP) and Payment versus Payment (PvP) security settlement procedures.
The key aspect will involve enhancing the efficiency, security, and openness of the global agricultural commodity trade supply chain. Construction on infrastructure projects for the pilot’s next stage is set to begin within the upcoming weeks, according to BCB.
In our pilot project, Microsoft takes charge of providing cloud services, and 7COMm assists with technical aspects.
Simultaneously, Chainlink’s technology is being utilized across numerous applications and projects, such as asset tokenization. Notable partners leveraging this service are Swift, Fidelity International, ANZ, and UBS.
Read More
- We’re Terrible At Organizing Things.’ Tom Holland Reveals The Sweet Holiday Scheme He And Zendaya Are Going To Try Next Year
- Yarrow Slaps’ Distorted Celebrity Portraits Take Center Stage in New Video Game-Inspired Show
- Path of Exile 2: How To Find & Unlock the Realmgate
- NewsNation Taps Leland Vittert to Replace Dan Abrams
- Cookie Run Kingdom: Shadow Milk Cookie Toppings and Beascuits guide
- Girls Frontline 2 Exilium tier list
- XLARGE Celebrates Lil Wayne With New Collection
- Million-Dollar Crypto Scandal: Abra Pays Up in SEC Settlement
- Rooster Teeth Is Back and Promises To Go Back to Its Roots
- Deva: Shahid Kapoor and Pooja Hegde’s lip-lock scene gets trimmed by CBFC? Film’s runtime and rating revealed
2024-11-19 19:20