Brazil: Announced HKMA and BCB collaboration enabling cross-border tokenisation experiments under ensemble sandbox and the Drex pilot platform

On 28 October 2024, the Hong Kong Monetary Authority (HKMA) announced a partnership with the Central Bank of Brazil (BCB) to advance cross-border tokenisation initiatives. The collaboration links HKMA's Ensemble Sandbox with BCB's Drex pilot platform to explore cross-border settlement solutions, specifically in payment-versus-payment (PvP) and delivery-versus-payment (DvP) scenarios. The use cases include trade finance and carbon credit transactions. Project Ensemble, launched by the HKMA in August 2024, focuses on fostering tokenisation in sectors such as liquidity management, sustainable finance, and supply chain finance. Simultaneously, BCB's Drex pilot programme, with contributions from over 70 financial entities, aims to cultivate Brazil’s tokenised financial ecosystem.