Brazil Leverages CBDC Data for Real-Time Interest Rate Decisions

The Central Bank of Brazil has adopted Drex, its central bank digital currency (CBDC), to inform interest rate decisions, marking a significant step forward in integrating blockchain technology into monetary policy. At the Token Nation conference in São Paulo on June 4, 2025, Executive Henrique Videira announced this groundbreaking move. This integration leverages Drex’s distributed ledger technology for real-time economic data analysis, providing insights beyond traditional indicators like banking transactions. The central bank aims to achieve faster and more accurate policy decisions by accessing structured, time-stamped data from Drex. This approach prioritizes privacy through hashing, which protects individual identifiers from unauthorized tracing, ensuring transparency and agility within the financial system. Analysts predict that this development could significantly influence other central banks globally as it showcases the potential of CBDC infrastructure for advanced monetary policymaking.