The Central Bank of Norway has decided to pause its plans for a central bank digital currency (CBDC), citing the current efficiency and security of its domestic payment system. After years of studying the necessity and potential form of a CBDC, the bank concluded that there is no immediate need for its introduction. Governor Ida Wolden Bache emphasized that the bank remains open to future developments and will continue to monitor international trends and explore digital currency forms like tokenization.
The bank plans to release a comprehensive CBDC research report and a subsequent work plan in the first quarter of next year. While the possibility of future issuance is not ruled out, the bank is prepared to collaborate with the financial industry and other central banks if a CBDC becomes necessary to maintain an efficient and secure payment system.
Norwegian Central Bank Halts CBDC Plans, Citing Secure Payment System
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