The Bahamas is a place which is especially known as a luxury to tourists. As per one of the latest announcement which is done by Nassau Guardian shows that the Central Bank of Bahamas is taking a great step for making the environment more friendly. As per the report shared on May 29, the Central Bank of Bahamas will soon enter into a deal with technology solutions provider NZIA Limited to built The Bahamas national digital currency.
On May 30, CBOB will sign an official agreement with NZIA.io in a bid to develop and implement "Project Sand Dollar", the first digital currency in the Bahamas, the report states. The partnership with the NZIA.io was first declared in March by the central bank, joining the Zynesis software development firm in the project.
As mentioned by the Central Bank, Project Sand Dollar will be operating on an electronic payment system for "integrated, affordable" transfer, which is specially targeted towards the local businesses and residents. To be incorporated allegedly into the present financial infrastructure, the team behind the project will make sure that the payment system follows the local financial regulations.
The project will also provide all residents of the island country equal access to digital payments, which helps in decreasing the service delivery costs linked while performing transactions in cash.
Till now, there has not been any island chosen to pilot the new payment system. But the bank governor John Rolle ensured that institutions experts to be fully ready to adopt the project for the Family Islands by 2020. The official plan to launch the digital currency with the government support was declared by CBOB in June 2018.
Not all the nations are accepting cryptocurrency with open hands. Recently, the president of Germany's central bank Deutsche Bundesbank alerted central banks about the risks involved in launching the cryptocurrency. One of the officials stated the adoption of cryptocurrency can undermine the financial system at the time of crises, and might "fundamentally change the business model of banks" even is a proper economic environment.