Brazil’s central bank examines DLT for use
Banco Central do Brasil, Brazil’s central bank, has released a new research paper outlining possible use cases for blockchains and distributed ledgers and how various available platforms could be used to test the technology. The central bank had undertaken a study examining use cases for distributed ledger technology, including identity, local currency and settlement. The central bank says the objective is not to design a primary settlement platform for the central bank, but to create a minimal backup system for funds transfer in the event of a ‘complete main [settlement system] meltdown’. The report says the design of this system includes a permissioned blockchain network in which financial institutions and the central bank itself are the validating nodes.