• Initiative is part of the LIFT Challenge that proposes use cases for the BRL CDBD, the Brazilian virtual currency to be launched in 2024
  • Technology was developed in partnership with Parfin, a fintech that designs infrastructure for cryptocurrencies and tokenization of assets


São Paulo, October 19th, 2022

Santander Brasil introduces to the Brazilian Central Bank a proprietary solution to increase convenience in real estate and auto transactions carried out directly between buyer and seller. The initiative foresees the tokenization (conversion to digital format) of ownership right of goods such as cars, and is part of the LIFT Challenge, a collaborative laboratory created by the regulatory agency to foster projects within the scope of the BRL CBDC (“Real Digital”), virtual currency expected to be launched in 2024.

The solution proposed by Santander uses two blockchain and tokenization technologies, including that of fintech Parfin, and will be able to synchronize the transfer of the BRL CBDC to the seller at the moment the buyer takes ownership of the asset. Technical leadership of the project was provided by F1RST, Santander's technology and innovation company.

"The idea is that, through tokenization, Brazilians are able to safely negotiate the sale of auto or real estate through smart contracts, on permissioned blockchain networks", says Jayme Chataque, Technology and Operations Executive Superintendent at Santander. In other words, the traded good earns a digital representation through a token, whose ownership is transferred with a payment using Real Digital.

According to Alex Buelau, Parfin's CTO and co-founder, the company has developed a permissioned blockchain network for the project that performs asset tokenization. The network will handle the process of digitizing the ownership of assets and the operations for the transfer in exchange for digital currency (Delivery versus Payment, or DvP). "In addition, through our custody service, based on MPC (Multi-Party Computation) technology, we are able to offer the highest safety level to store these tokens," he says.