In Sweden, no decisions have been made to launch an e-krona. What the Riksbank would like to add if an e-krona were to come is a complement to existing payment methods, like cash and “swish”. In many parts of Europe, cash is still a strong means of payment, but in many shops and restaurants in Sweden, it is only a matter of paying at the moment. In 2019 Swish had 7 million users in a country of 10 million people. Can an e-krona compare with that?
The e-krona was already talked about in 2016 by Sveriges Riksbank (Sweden National Bank), and began in 2017 to be built on. In 2020, a prototype will be tested at Riksbank and in the event of an extension of the e-krona pilot, it is possible to explore additional services such as automatic deposit or automatic transfer as examples of services that network participants could develop and offer in the future. In 2021, this test pilot will end and see what comes after this test period is going to be an exciting time.
The e-krona in Sweden has come further than other European currencies as a result of less cash flow in society. There are users in the test environment who in this now use and test whether a payment method like this is something that the Riksbank wants to supplement with, but when banks come up with new currencies, a lot needs to be agreed.
“The pilot’s goal is to create a digital crown in an isolated test environment that is simple and user-friendly and at the same time meets critical requirements regarding safety and performance,” writes the Riksbank.
What are the key pillars of a publically available central bank digital currency? A report from seven central banks and the BIS sets them out #CBDC @ECB @bankofengland @riksbanken @Bank_of_Japan_e @SNB_BNS_en @federalreserve @bankofcanada https://t.co/EUbG8oMTpQ pic.twitter.com/AjgMri0RBu
— Bank for International Settlements (@BIS_org) October 9, 2020
The list of principles and characteristics has been presented in a report prepared in collaboration between the Riksbank and six of the world’s heaviest central banks (Bank of Canada, Bank of England, Bank of Japan, European Central Bank (ECB), US Federal Reserve and Central Bank of Switzerland). The cooperation organization Bank for International Settlements (BIS) has also participated.
More about digital currencies: Click The launch of the digital euro
— Fyggex (@fyggexchange) August 12, 2020
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