The swedish cbdc, E- Krona “MAY” be interoperable with Krona.

The #swedish #cbdc, E- Krona “MAY” be interoperable with Krona.

The #swedish central bank, Sveriges riksbank has been evaluating the use of a retail #cbdc “E- Krona” since 2017.

Beyond solving for the model of issuance and exchange of the digital currency, the next big problem to solve is #adoption.

The existing #fintech ecosystem and banking industry should be able to access the “E- Krona” network.

The industry has to be able to leverage E- Krona capabilities and offer services to individuals and businesses.

Interoperability between the two legal tenders is essential.

Fiat stored in accounts and E-Krona which may be stored in wallets (software or hardware wallets) have to be interchangeable.

Fintech and banking industry should be able to tap into the E-krona system to support interoperability between fiat and #cbdc.

Offline transactions with CBDCs is an important use case.

It will aid in financial inclusion(not that relevant in Sweden though) and also help in replicating cash use cases.

Riksbank is considering how E- Krona can be used for offline transactions.

China is solving this by using hardware wallets, and providing the CBDC with intrinsic value. Sweden can follow something similar.

Sveriges riksbank has not announced plans to issue E -Krona.

But considering the push globally, may be in the next 15 months.

 

Ajay Singh Pundir

Over the last decade and half, Ajay has acquired experience across ‘Business Strategy’, ‘Sales management’, Business Development’, ‘Solution Consulting’ and ‘Research and Development’. He has been leading interactions with financial institutions, fintechs, software vendors and services organizations globally, acquiring crucial global exposure of varied financial technology markets with a focus on payments but not limited to it.

Must Read

Related Articles