Sweden’s Riksbank announced today that it will be conducting a one-year pilot project designed to create a technical solution for a central bank digital currency, the e-krona. In a press release, the bank said that the pilot project’s goal is to enhance Riksbank’s knowledge and work in an isolated test environment to create a simple, easy-to-use digital version of the krona.
According to the bank, no decision has been made to issue the e-krona, or even what technology might be used in its creation. However, the pilot project plans to study the potential benefits of a blockchain digital solution that could potentially complement the nation’s use of cash. The bank has established several main criteria for e-krona success:
A digital krona should be simple, user-friendly as well as fulfil critical requirements for security and performance. In the test environment, simulated users shall be able to hold e-kronor in a digital wallet, make payments, deposits and withdrawals via a mobile app. The user shall also be able to make payments via wearables, such as smart watches, and cards.
For now, the project is scheduled to run from now until February 28, 2021, though the press release confirmed that it could be extended if more time is needed to properly develop the digital krona.