Regulation expands confidence in the cryptoasset market, assesses Transfero’s CEO

The BRZ stablecoin, launched by Transfero in 2019, is among the leading digital currencies in the country, and the expectation is that its relevance will grow in the coming years as the regulatory landscape solidifies. In the view of Transfero’s CEO, Márlyson Silva, “regulation will bring more trust and security to the market, allowing more companies and users to adopt stablecoins.”

In an interview with PanoramaCrypto, the executive discussed the differentiators of the BRZ, as well as the challenges and opportunities of stablecoins, the evolution of regulation, and how Transfero’s activities extend beyond the issuance of digital currency. Check out the full conversation.

How do you evaluate the competitiveness of BRZ and what are its main highlights?

BRZ stands out for being a stablecoin 100% backed by reais, which facilitates fast and accessible transactions for those who want to operate with cryptocurrencies in Brazil. Its main differentiator is precisely being linked to the real (Brazilian’s fiat currency), allowing for more security and less exposure to the volatility of other currencies. To ensure the liquidity of BRZ, we have established partnerships with exchanges and financial institutions that maintain sufficient reserves in reais. This allows users to convert BRZ to reais at any time with less volatility, maintaining a 1:1 parity. 

From the perspective of the corporate market, what are the main challenges and opportunities in introducing stablecoins as a means of payment? 

One of the main challenges is the initial distrust on the part of entrepreneurs. After all, education and knowledge about the market are still low. The opportunities, however, are enormous, as stablecoins, such as BRZ, allow for fast, cheap and secure transactions, facilitating access to the global market, especially for small and medium-sized enterprises.

How does the regulation that is coming into effect help to overcome this distrust?

The regulation will bring more trust and security to the market, allowing more companies and users to adopt stablecoins and learn about the subject. We believe that clear rules will help to expand the use of cryptocurrencies in Brazil, promoting innovation and growth.

And what is Transfero’s contribution to the construction of the national regulatory framework?

Brazil is moving towards a more structured regulation in the crypto market, and our experience in other countries allows us to contribute with valuable insights. Transfero believes that it is important to balance innovation with consumer protection to create a healthy ecosystem. We are part of the working group together with the regulator, and in addition, we always adopt a posture of educating and informing the market about everything that is happening in the world, thus facilitating understanding and learning at all levels.

Regarding the market as a whole, how can Transfero collaborate?

We position ourselves as facilitators because we offer a robust platform for other companies to integrate crypto into their operations. It is not just about issuing stablecoins, but providing all the necessary support for businesses to grow using our infrastructure that connects financial, banking and blockchain services.

If you could give two pieces of advice to someone who wants to operate with stablecoins in Brazil, what would they be?

First, always understand how the stablecoin works and the company that issues it. Transparency, recognition, time, and market authority are key. Second, use stablecoins to diversify and protect your assets, taking advantage of the stability they offer in times of volatility.

What are the expectations for Drex, especially with the change of president at the Brazilian Central Bank?

The arrival of Drex and the advancement of tokenization will bring more dynamism to the financial market. Even with the change of president at the Central Bank, we expect these projects to move forward, promoting financial inclusion and innovation. In this context, stablecoins emerge as a promising solution for international operations, providing stability in cross-border transactions. However, divergent regulation between countries represents a significant challenge to their large-scale adoption. The lack of legal interoperability between different jurisdictions, as discussed in the context of the digital revolution in justice, imposes barriers, requiring regulators to align their approaches to ensure legal security and full functionality of these digital currencies in the global market.