CBDC Privacy Issue Unresolved in Brazil

Central Bank of Brazil Faces Challenges in CBDC Privacy Solutions

• The Central Bank of Brazil conducted the first phase of the national CBDC pilot, known as drex.
• None of the anonymity and privacy solutions tested met the project’s requirements.
• The pilot aims to address privacy concerns associated with central bank digital currencies (CBDCs).

The Central Bank of Brazil’s initial phase of the drex pilot highlighted a significant challenge: finding suitable anonymity and privacy solutions for their CBDC, as none tested so far have met the necessary criteria.