Uruguay’s central bank, according to statements, is starting to experiment with its own digital currency
Banco Central Del Uruguay (BDC) announced on Wednesday that a limited number of users would help to test the mobile application used to transfer funds.
Speaking at the meeting titled “The Future of Money and the Financial System”, the President of BCD Mario Bergara said that the digital currency would function in the same way as cash, which would make it possible to transfer funds between individuals.
According to the Herald Tribune, Bergara explained that:
You do not need to use your phone to make transfers, as is the case today, but having accounts in your cell it is possible to transfer them from one user to another.
It is still unclear whether the aforementioned digital currency will operate on a Blockchain based platform, but some central banks around the world, including those in Canada and the United Kingdom, have used this technology during similar attempts.
Although no start date has been announced, Bergar thinks the pilot is “quite close” and some of the program’s technological aspects are still being completed. As he said:
This will be a process full of trial and error, successes and failures
Central banks around the world are exploring new ways to spend their own digital currencies, including Ledger technology. Recently, an employee of the Bank of England published an entry on the subject, claiming that regardless of technology, the digital currency issued by the central bank would require an “extraordinary” level of resilience to be successful.