The Riksbank, the Riksbank, recently announced that it has expanded an ongoing pilot program aimed at creating a digital version of the Swedish krona by 2022.
In partnership with professional services company Accenture, a pilot e-krona program was created to address what the Riksbank calls “cash marginalization”:
“The Riksbank sees potential problems with cash marginalization and has therefore started a pilot project to develop a proposal for a technical solution for the central bank’s digital currency, e-krona, which could complement cash.”
The latest announcement says that no decision has yet been made on how the e-krone will be paid or even whether the e-krone will be issued. But a small white paper from 2020 describing the use of the R3 Corda blockchain – a private distributed ledger built for business and industry. Unlike public blockchains such as Bitcoin and Ethereum, projects built on Corda will only be available by invitation.
Central Banks Digital Currencies or CBDCs are digital currencies that are issued and controlled by the central bank of a particular country. Unlike open source coins and decentralized and publicly available blockchains, central bank digital currencies are not an alternative to the current monetary system. Instead, they were designed as a potential defense against the proliferation of digital currencies and function as a digital version of today’s national money.
The pilot program will continue over the next year and will end in February 2022. The latest announcement indicates that testing offline jobs and hiring external contributors will be a priority in the coming months:
The main goal of the pilot program is to raise awareness of the Riksbank about the digital krona issued by the central bank. The project is currently being extended until the end of February 2022. The goal for next year is to continue developing a technical solution with a focus on performance, scalability, testing standalone features, and bringing external contributors into the testing environment. “