Brazil's four financial regulators have teamed up to launch the PIER block-platform, which is designed to exchange data between agencies, audit officials and regulatory oversight.
PIER now receives data from three of Brazil's four main financial regulators: the Federal Private Insurance Agency (SUSEP), the Bank of Brazil (BCB) and the Securities Commission (CVM). The National Directorate of Supplementary Benefits (PREVIC) plans to join the initiative later.
Once this happens, PIER will integrate Brazil's entire financial supervision system into an "extensive integrated database", CMV said. The platform will increase the speed at which each regulator can manage its segment of the economy.
"Our goal is for the system to contribute to market growth. It provides more efficient, safe and adequate oversight of the new technology scenario that is currently unfolding," said BCB head Marcelo Barbosa.
According to the Bank of Brazil, PIER gives officials access to the records of its subsidiary agencies on corporate responsibility measures, financial results and business partners "in seconds.
"This dramatically reduces the time it takes to assess business needs," said Daniel Bichuette, deputy head of the BCB financial system organization department.
Each agency suggests using PIER to improve the efficiency of regulatory oversight. For example, the Bank of Brazil notes that the PIER can streamline checks on the qualifications and business reputation of persons appointed to positions in financial institutions.
The regulator of Brazilian securities states that a bloc-based platform can stimulate corporate investigations. The blockchain is expected to reduce the time required to conduct investigations as well as their cost. In addition, PIER is seen as a safer way to store information.
According to a description of the platform published by BCB, the basic blockchain is based on a multi-node consensus mechanism and a digital signature system. Over time, the Bank of Brazil will add more government databases to the PIER. The regulator states that the platform "has the potential to merge databases outside the financial system - data from the judiciary, trade councils and international financial stability agencies".
The development of PIER first became known in the summer of 2018. In addition, Brazil's Ministry of Education recently proposed the creation of a block-platform to issue digital certificates of education to non-state universities in order to combat counterfeiting of diplomas. In February, the Central Bank of Brazil announced that it planned to launch an instant payment system by the end of this year. This step was a response to the growing popularity of crypto assets in the country.
Comments
Post a Comment