Estonian Central Bank Eesti Pank has announced the launch of a research program to create infrastructure for digital currency.
Eesti Pank reportedly collaborated with technology companies SW7 Group and Guardtime on a research project. It aims to see if a Keyless Signature Signature (KSI) blockchain solution can run its own virtual currency program. Estonia is already using KSI blockchain technology to provide e-government services. The bank project will also consider new payment solutions, which “will become possible through the use of electronic identifiers and other solutions of the Estonian e-government.”
However, the project will not specify which technologies to use.
The project will consist of several stages and will last for about two years. The first step will explore how to create a scalable, relevant, and secure platform that meets your digital asset needs. At the same time, the platform must provide speed, security, privacy and resiliency.
Rainer Olt, head of the bank’s payment systems division, said:
Eesti Pank, as a small central bank, carefully selects the development projects of the eurozone central banks in which we can make a significant contribution. Over the years, Estonia has accumulated unique knowledge of how to maintain a secure, private and efficient e-government. Estonia’s unique rich experience provides a good driving force for starting a project with technology companies SW7 and Guardtime to explore technological possibilities. The latter is Estonia’s long-standing blockchain partner and the absolute leader in this field. ”
The bank confirmed that it is constantly trying to develop the economic environment and its payment system in order to keep up with the times and meet the needs of its citizens.
Estonia is leaning towards blockchain technology, although the e-residency program has recently been criticized for its links to scams.
Christine Lagarde, President of the European Central Bank, made it clear last month that digital transformation does not mean moving away from paper money.