Sweden'due south central depository financial institution is planning plans to create a pilot platform for a digital currency known as the e-krona.

While Switzerland took a negative stance towards a cardinal bank digital currency (CBDC) earlier today, with its government challenge that information technology could do more harm than good, Sweden is starting to explore the potential benefits of east-krona, Reuters reports Dec. 13.

Riksbank eyes partnership with Irish professional person services firm Accenture

According to the report, Riksbank, Sweden'due south central banking company, said that information technology would partner with Irish professional services company Accenture to create a airplane pilot platform for a digital currency dubbed the e-krona.

By initiating the move, the Riksbank aims to bolster its knowledge about the potential of the digital currency as the depository financial institution reportedly said:

"The primary objective of the eastward-krona pilot project is to broaden the bank'south understanding of the technological possibilities for the e-krona."

Head of the Riksbank previously deemed Libra as an "incredibly important catalytic event"

As noted in the report, the Riksbank has been looking closely at whether it should upshot a digital currency, as the apply of cash has declined sharply in Sweden in recent years.

Indeed, the Riksbank appears to have been closely observing the problems surrounding digital currencies and so far. In mid-Oct, the head of Sweden's Riksbank considered Facebook's Libra stablecoin project an "incredibly of import catalytic event." Riksbank Governor Stefan Ingves noted that such initiatives trigger the world'south central banks to ready themselves for digital transformation.

The news comes against the backdrop of Switzerland, which is the homeland to the Crypto Valley Association, abruptly shutting downwardly the idea of issuing a digital Swiss franc earlier today. As reported by Cointelegraph, the Federal Council ended that a CBDC cannot meet expectations for payment efficiency, constructive monetary policy, and a more stable financial system.