TechFlow, April 11 — According to Valor Econômico, Brazil's central bank digital currency (CBDC) pilot project, Drex, is encountering development setbacks. Major partners including Microsoft and EY have reduced their personnel involvement in Drex-related solutions. This shift stems from the central bank's decision not to approve any submitted proposals during the second phase of the CBDC pilot.
EY, which oversees the Starlight privacy project, has reportedly seen three key developers leave. Microsoft has also scaled back its participation in its ZKP Nova privacy solution after significant investment, with the solution continuing to be tested and supported by its partner Hamsa.
Rogerio Lucca, Executive Secretary of the Central Bank of Brazil, stated that the team is still evaluating the project’s future direction but did not disclose specific test results.
