BRD stablecoin backed by Brazilian government bonds offers exposure to 15% interest rates
A former senior official from Brazil’s central bank has unveiled BRD, a Brazilian real-pegged stablecoin designed to share yield from government debt with token holders. The project aims to give foreign and institutional investors easier access to Brazil’s high-interest-rate environment.
The stablecoin will be backed by Brazil’s National Treasury bonds, linking its value to sovereign debt while offering exposure to the country’s benchmark interest rate of 15%. This contrasts sharply with interest rates in developed markets, where yields remain significantly lower.
The initiative is positioned as a way to reduce barriers to investing in Brazil, including currency friction, regulatory complexity, and local infrastructure constraints. By distributing yield directly to holders, BRD is structured to function as both a digital real substitute and an income-generating asset.
The project could also benefit Brazil’s public finances. By expanding access to government bonds through a digital instrument, the stablecoin may increase demand for national debt and potentially lower borrowing costs over time.
BRD will enter a market that already includes BRZ, BBRL, BRL1, and cREAL, but aims to differentiate itself as the first real-pegged stablecoin explicitly designed to share government bond yield with holders, targeting institutions seeking high-yield exposure through blockchain-based finance.
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