For this episode I’m joined by João Aragão Pereira, a financial technology specialist at Microsoft. João has been one of the key figures representing Microsoft in the Drex project, as well as other CBDC projects around the world.
We explore how Microsoft’s Regulated Liability Network architecture could support Drex, which is being envisioned as not just a digital currency but rather an entire ecosystem of services built around programmable digital money and tokenized assets.
João gives us an in-depth look at each of the layers of the RLN. Layers 1 and 2 serve as the settlement and interoperability layers for tokenized assets and liabilities, to be utilized by financial institutions and the Central Bank.
Layers 3-5 enable assets and protocols to be built out at the respective financial institutions, business services (including those that incorporate Pix and Open Finance) and customer-facing applications like wallets and financial products.
We also discuss how new breakthroughs in cryptography, like Microsoft's Confidential Computing Framework can allow for selective sharing of transaction data between authorized entities to balance privacy and transparency.
There’s a lot of information presented in this conversation, but I walked away with a much more comprehensive understanding of the Drex vision.
We use a number of slides and visual aids during the conversation, so I’d recommend watching the video version of this to get the full experience.👇
I really enjoyed this conversation with João and I hope you do as well.