Eesti Pank, the central bank of Estonia, announced the launch of a research program to study how to build a digital currency infrastructure.
According to a statement, Eesti Pank collaborated with technology companies SW7 Group and Guardtime on the research project. It aims to see if the keyless signature infrastructure (KSI) blockchain solution can run its virtual currency program. Estonia has used KSI blockchain technology for its e-government services. Eesti Pank’s project will also study new payment solutions “that can be achieved through the use of electronic identities and other Estonian e-government solutions.”
However, the project does not specify which technologies should be used.
The project will be divided into several stages and will last about two years. The first phase will study how to build a scalable, practical and secure platform to meet the requirements of digital funds. At the same time, the platform also needs to meet requirements in terms of speed, security, privacy, and flexibility.
Rainer Olt, Head of Payment System Department of Eesti Pank Bank, said:
“As a small central bank, Eesti Pank has carefully chosen that we can make meaningful contributions to the development of the Eurozone Central Bank. Over the years, Estonia has developed a unique expertise in how to maintain safe, private and efficient e-government There is technology. Estonia’s unique and rich experience provides a good motivation for launching projects with technology companies SW7 and Guardtime, and buys time for exploring technological opportunities. The latter is Estonia’s long-term partner in the blockchain field, and in this The field is in a leading position in the world.”
Eesti Pank emphasized that they will continue to work hard to develop the financial environment and payment system to keep up with the times and meet the needs of citizens.
Estonia has always favored blockchain technology, although its e-residential program has recently come under fire for e-residents related to fraud.
Last month, European Central Bank President Christine Lagarde explained that the adoption of a digital euro does not mean the abolition of legal tender.
