It should be possible to integrate an e-krona into banks’ and payment service providers’ own existing systems, Sweden's central bank has concluded following CBDC research.
With cash usage dwindling in Sweden, the Riksbank started a project in the spring of 2017 to examine the scope for the creation of a CBDC that could ensure that the general public will still have access to a state-guaranteed means of payment.
Earlier this year, the bank concluded Phase 2 technical trials, which investigated how banks and other payment service providers could be integrated into an e-krona network and whether and how an e-krona might function offline.
Working with third parties Handelsbanken and Tietoevry, Riksbank has concluded that it is possible to integrate a CBDC into the internal systems banks have today, and this would make it possible for their customers to exchange money in their bank account for e-krona, and vice versa.
The tests have also shown that it would be possible to make transactions using e-krona offline, although this would entail some risks.
On the legal front, the central bank has concluded that an e-krona would be regarded as an electronic form of cash.
Phase 3 of the project is now underway, although the Riksbank still insists that no decision has been made on whether to issue an e-krona or what technical or legal framework it would it entail.
In a separate notice, the bank has warned the public not to be tricked by claims on social media and websites that it is already selling e-kronas.