Brazil: the largest bank in the country considers the launch of a stablecoin

The largest bank in Brazil, Itaú Unibanco, is considering the possibility of launching its own in-house stablecoin. Following the trend in the USA, the bank states that there is a growing general interest in this topic.

Brazil: the largest bank Itaú Unibanco considers the idea of launching a stablecoin

Itaú Unibanco, the largest banking institution in Brazil, revealed that it is considering the idea of launching a stablecoin.

Specifically, the Brazilian bank stated that it wants to see the experiences of other financial institutions that are issuing stablecoins, and the finalization of the regulation on stablecoins in Brazil.

In fact, these revelations in Brazil come in the wake of what is happening in the USA, where stablecoins are under scrutiny for regulation. 

In this regard, Guto Antunes, head of digital assets at Itaú Unibanco, confirmed the theory, stating that interest increased right after the change in position of the bull government.

Regarding stablecoin, Antunes states that in the USA they have become relevant to the point of being identified as tools to promote and protect the sovereignty of the dollar.

Brazil: the bank considers the stablecoin following what is happening in the USA

Right now, there is talk about yesterday’s hearing in the USA that saw Maxine Waters, a Californian legislator, criticize President Trump and his direct involvement with the crypto world.

In the specific case of stablecoins, Waters argues that Trump wants to replace the US dollar with USD1, the stablecoin just launched by World Liberty Financial (WLFI) – the crypto company supported by the Trump family.

There is therefore a discussion about a potential conflict of interest that Trump might have in various branches of the crypto sector. Waters indeed cited the case of the memecoin TRUMP and the creation of the USA’s strategic Bitcoin reserve, both promoted by the USA President. 

Still in the case of stablecoins, yesterday’s hearing was necessary before the Commission could vote on whether to advance the legislative proposals to the House of Representatives. 

The national strategic reserve in Bitcoin

While Itaú Unibanco talks about stablecoin, recently, in Brazil the debate on the creation of the national strategic reserve in Bitcoin has also opened.

Here too, the discussions are becoming more heated precisely because at the beginning of March, in the USA, Trump signed the executive order to establish both the national reserve of BTC and the national reserve of crypto.

And so, here in Brazil, the various discussions on the topic are also underway. For some high-ranking government officials, the national reserve of Bitcoin is of public interest and is important and decisive for the country’s prosperity.