Brazil rejects plastic cards

 

The head of the Brazilian Central Bank has announced that plastic credit and debit cards will be a thing of the past in the foreseeable future. They’re gonna to be replaced by bank apps.

 

In 2020, the Central Bank of Brazil released the Pix payment system. The system is integrated into banking applications that are installed on smartphones. Smartphones are now used instead of the usual plastic. This method of payment has become the most popular, it has already used by more than 140 million Brazilians and about 13 million companies.

 

The user-friendliness is obvious - in your smartphone you have everything you need to make payments and manage your finances. In turn, banks do not have to pay high fees to processing companies.

 

The Brazilian Central Bank is working on an advanced wallet working, including without internet access.

 

It is interesting how Brazilians implement new technologies. They are ahead of most countries of the world, including the "golden billion" countries.

 

I must say, this policy is really interesting. Despite the fact that bank apps manage fiat money, the rejection of paper and plastic is a serious step forward. This greatly simplifies the transition from fiat to the crypt.

 

This surely will happen - I have no doubt about that, just because blockchain is more technological. Of the cons, the Central Bank is likely to release its cryptocurrency, which will allow to establish total control over all expenditures of citizens and businesses. Technological gains can result in restrictions on rights and freedoms. On the other hand, this is just one possible scenario. It is possible that, on the contrary, free circulation of the crypt will be allowed. Everything will depend on political changes, which are impossible to predict now.

 

#Brazil #Pix #paymentsystem