Hello All,
In this Post, let us see an Initiative adopted by a country in completely digitilization of its Legal tender currency.
Lets get into some insights of its project..
The Parties Involved –
Government of Tunisia
Universa – Russian ICO Startup
Platform – Universa Blockchain
Whats New ???
The Central Bank of Tunisia which has previously announced on digitization of the Tunisian dinar, has started that E-Dinar will be issued to its citizens via Universa Blockchain
The Physical currency present will be converted to E-Currency and will be provided to owners of such physical currency. The E-Money so issued will be supported by Underlying blockchain network Universa.
The New Approach –
Universa will receive a percentage of all transactions carried out with the “e-dinar”
The Entire ledger will be visible to the country’s central bank which will be monitoring and administering the Currency circulation.
The CEO of Universa, Alexander Borodich claims that the E-Dinar is a form of electronic money and the same cannot be considered a true cryptocurrency.(As Cryptocurrency has many features as discussed in my previous Video/Post)
This approach make issue of new currency cheaper and more transparent.
Borodich said:
Digital banknotes cannot be counterfeited — each banknote is protected by cryptography like its paper counterpart has its own digital watermarks. Furthermore, the production of such a banknote is 100 times cheaper than wasting ink, paper and electricity in the printing process.”
The New role of Private Banks-
All the physical money which is currently in circulation will stay at the central bank and the commercial banks will only provide services related to Banking.
