Sweden extends pilot project for digital crown until 2022

Sweden wants to extend the CBDC pilot project to include the e-crown until 2022.

The Swedish central bank Riksbank recently announced that it had extended the ongoing pilot project to create a digital version of the Swedish krona until 2022.

In collaboration with the consulting firm Accenture, the Riksbank has launched the pilot program „E-crown“ to life, to a „marginalization of cash“ reach :

„The Riksbank sees potential problems with the marginalization of cash and has therefore initiated a pilot project to develop a proposal for a technical solution for a digital central bank currency, an e-krona. This can act as a complement to cash.“

The latest announcement states that a decision has not yet been made on how or whether to issue the e-krona. But a short whitepaper from 2020 explained that the Corda blockchain was being used by R3. It’s a private, distributed ledger designed for businesses and businesses. In contrast to public blockchains such as Bitcoin Millionaire review and Ethereum, projects based on Corda will only be accessible via invitation.

Central Bank Digital Currencies (CBDCs) are digital currencies that are exclusively issued and monitored by a country’s central bank. Unlike coins based on open-source, decentralized, public blockchains, CBDCs do not present themselves as alternatives to the current Fiat system.

They are intended more as a possible hedge against the spread of digital currencies and function as a mere digital version of the existing national money

The pilot program will continue over the coming year and is expected to end in February 2022. The current announcement states that testing the offline functionality and involving external participants would be a priority in the coming months:

„The main goal of the pilot project is for the Riksbank to expand its knowledge of a digital krona issued by the central bank. The project will now be extended until the end of February 2022. The goal for the coming year is to further develop the technical solution. The focus is on on the performance, the scalability, the testing of offline functions and the inclusion of external participants in the test environment. „