Brazil’s Central Bank Shuts Drex Blockchain After Privacy/Security Shortfalls

Overview

• The Hyperledger Besu–based DLT used in the first two Drex phases will be disconnected next Monday, Nov. 10, according to reports of a briefing to pilot participants.
• The central bank determined that the privacy and security solutions tested so far did not meet required standards for continuing the pilot.
• Participants said maintenance costs factored into the decision to switch off the current platform, reflecting broader market concerns reported by local media.
• Planning for phase three will begin in early 2026 under a technology-agnostic approach, with the continuation stack to be defined at the start of that stage and the phase-two report due early 2026.
• The next phase will focus on building interoperable tokenized-asset infrastructure and enabling tokenized assets to serve as collateral to improve credit-market efficiency.