Brazil turns cattle into digital assets
The news indicates that Brazil has launched a unique experiment to turn cattle into digital assets as collateral for agricultural financing, aiming to address the funding crisis and rising interest rates in the sector. A farm in Paraná State used 10 cows valued at approximately $23,000, which were registered on the stock exchange after being converted into digital assets based on encrypted health and behavioral data obtained from smart collars. This technology reduces the problem of livestock loss and lessens banks' reliance on traditional verification methods, thereby expanding farmers’ access to financing—especially during the economic crisis facing Brazil’s agricultural sector. This initiative is part of a global wave to tokenize real assets and seeks to enable farmers to access lower-cost funding and increase the volume of credit granted to them. It is expected that this digital livestock will reach 400 million Brazilian reais within two years.
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