Brazil's CBDC pilot contains code that can freeze or reduce funds, dev claims
Pedro Magalhães, a blockchain developer who claims to have reverse-engineered Brazil's pilot CBDC has found code that would allow accounts to be frozen or drained at will. A blockchain developer who claims to have reverse-engineered the source code of Brazil’s pilot central bank digital currency has discovered functions in the code that would allow a central authority to freeze funds or reduce balances. He has since argued, however, that there could be situations that such functions could be beneficial. The source code of the Real Digital pilot project was posted on GitHub portal on July 6 by Brazil’s top bank. It was explained at the time that the Real Digital pilot project is intended for use only in a test environment and that the “presented architecture” may be subject to additional changes. Pedro Magalhães — a blockchain developer and founder of tech consulting firm Iora Labs — later that day claimed to have been able to “reverse engineer” the open source code of Banco...