Brazilian cows tokenized as collateral for farm loans registered on B3 exchange

Published Jul 23, 05:31 PM UTC

A dairy farm in Paraná, Brazil, has tokenized ten cows using blockchain and AI-powered sensor collars to secure a rural credit certificate (CPR-F) worth R$100,000 ($19,420) from BMP, a central bank-authorized credit company. The credit rights were sold to Target FIDC and registered on B3, Brazil's main stock exchange. Each cow received a unique encrypted digital ID generated from health and location data captured by Cowmed's smart collars, eliminating the need for physical farm inspections. This innovation addresses a severe credit crunch in Brazilian agribusiness, where bankruptcy protection filings surged to 1,990 in 2025. Banks typically discount livestock collateral by up to 60% due to tracking difficulties, but tokenization provides real-time monitoring and tamper-resistant identification. Cowmed currently monitors 100,000 cows across 1,200 farms in six countries, and projects R$400 million ($77.6 million) in tokenized collateral within two years. Four more farmers are under evaluation, with a target of R$5 million in credit by end of 2026.