Nepal will issue its own token

Photo - Nepal will issue its own token
The Central Bank of Nepal is considering amendments to a bill that will be submitted to parliament and will allow the launch of a digital equivalent of the Nepalese rupee.
A bank official says that the document developed by a task team is already completely ready. But, at the moment, it is at the stage of internal discussion by the bank’s management.

Before launching the currency, the bank needs to solve not only economic and legal issues but also many technical ones. For the successful operation of CBCB, Nepal Rastra Bank will develop its e-wallet, which will be integrated into the existing banking system and interact with other digital payment systems.

An exact or approximate release date for the currency is unknown. The management of the bank does not plan to haste. Their goal is to prepare the technical and legal ground as much as possible based on the example of other countries. A bank official said that before releasing their digital currency, Rastra Bank plans to observe the development of CBCB in China and India. It is worth noting that China has conducted a series of tests of its currency. One such test was the Beijing Winter Olympics. And India’s finance minister said their digital currency will be available in 2023.

Bank analysts believe that the experience of neighboring countries and a detailed analysis of events will help Nepal to launch CBCB in just 3 years.

The central bank’s digital currency (CBCB) is a digital equivalent of the country’s fiat currency. The main difference from cryptocurrency is that the state itself issues CBCB, and its value is fixed to the country’s fiat currency. Most countries have been working on this issue for a long time. For example, China has been creating its digital yuan since 2014.