Norwegian central bank develops its CBDC on Ethereum

Having outlined its plans to test CBDC, Norges Bank cooperated with vendor Nahmii to help with its sandbox project based on the Ethereum network

Norway CBDC

Norwegian central bank develops its CBDC on Ethereum. Source: pixabay.com

Norway’s central bank published the source code for its CBDC sandbox on GitBox and confirmed that the prototype infrastructure for the project is based on Ethereum technology.

Norges bank created a working group to assess a digital form of central bank fiat money long ago. After five years of continued research, the bank presumed that introducing government-backed digital currencies will probably be beneficial for the country’s long-term economy.

Now, that the open source code is publicly available, basic token management use cases, including minting, burning and transferring ERC-20 tokens, can proceed to the trial phase.

Not only does the Norges Bank sandbox deploy the appropriate smart contracts and access controls, but it also includes custom front-end and network monitoring tools.

In addition, the sandbox network is only accessible by users with the appropriate credentials, meaning transactions are private. Nahmii representatives suggest that more complex and interesting use cases will follow. This includes batch payments, security tokens and bridges.

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