After CoinDesk news on stablecoin launch by state-owned bank from Brazil, the delegation of Mile Unity Foundation, met with Securities and Exchange Commission of Brazil (CVM) to discuss stablecoin pegged to IMF official currency.
Meeting with the CVM and State Officials
How should the ICO market and cryptocurrency trading be regulated? It’s a question on the minds of regulators around the world as they try to tailor the rules of this emerging market. In Brazil, Mile Unity Foundation Ambassador George Goognin had the opportunity to discuss these issues with Jose Alexandre Vasco, Director at the Office of Investor Protection and Assistance of the Securities and Exchange Commission of Brazil (CVM).
Brazilian authorities are very open on blockchain technology. In June, the Brazilian central bank announced that it would build a blockchain platform to share data with other domestic financial regulators such as the CVM. Still, the regulation of blockchain market is yet to come in Brazil. Last week, the local press announced that Bitcoin Regulation Bill will be postponed until 2019.
Goognin also met with deputy Federal Aureo Ribeiro, who initiated this bill to explore improvements in the regulation of the exchange of crypto assets for fiat currencies, as well as the accounting of crypto assets for enterprises.
XDR as a Tool for Cross-border Commodity Trade
Mile Unity Foundation representatives also met with Ministry of Industry, Foreign Trade and Services representatives to discuss how blockchain technology could be used in cross-border money remittance. The parties have discussed the possibility to sign a memorandum of understanding to use the XDR stablecoin for the international transfer of funds. XDR is a stablecoin that is linked to the IMF reserve currency Special Drawing Right (SDR).
According to MIT university data, in 2016 Brazil exported $191B and imported $140B, making the potential market for XDR a huge opportunity.
Blockchain in Crowdfunding
Another sector besides money remittance that can benefit from blockchain technology in Brazil is crowdfunding. Crowdfunding is already a regulated market in Brazil. According to Statista data, total market turnover in Brazil was 2.7 million USD in 2017. Still, the market retains huge growth potential.
To discuss using blockchain in the crowdfunding sector, Goognin met with an officials from Brazilian Development Bank (BNDES) and Banco Do Brasil. The last one is the largest bank in Brazil and one of key local crowdfunding market lenders.
As one of the members of BRICS and the largest economy in South America, Brazil requires access to seamless cross-border payments and investments. The MILE Blockchain enables fast, free and secure transactions that could help Brazil leverage its already significant status in the global economy. Keeping these conversations going is an essential part of leveraging the MILE ecosystem to empower Brazilians to more meaningfully engage in global commerce.
See in the featured image above: José Vasco (General Manager of Securities and Exchange Commission of Brazil) and George Goognin (Board Member of Mile Unity Foundation)
Mile Unity Foundation officials with Joaquim Levy (new CEO of Brazilian National Social Development Bank — BNDES)
From left to right Luceni Souza (Senior Specialist of the Secretary of Commerce and Services / Ministry of Economic Development), Carlos Veloso (Senior Specialist of the Secretary of Commerce and Services / Ministry of Economic Development), Edna Cesetti (Adviser of CAMEX — Chamber of Commerce / Presidency of Republic), Gilberto Ramos (MUF Brazil Ambassador), George Goognin (MUF Board Member), João Neto / (Special Adviser of CAMEX)
From left to right João Ricardo (Specialist of the Business Division of Banco do Brasil), Bruno Schmidt (Blockchain Senior Analyst of Banco do Brasil), Livio Bruni (Senior Analyst of Business Division of Banco do Brasil), Mile Unity Officials with George Goognin (MUF Board Member) and Gilberto Ramos (MUF Brazil Ambassador)