The Central Bank of the Bahamas (CBOB) is planning to introduce a digital version of the Bahamian dollar in the Exuma district.

According to an official printing release, the CBOB will launch its digital currency (CBDC) pilot on December. 27, which will extend in the first one-half of 2022 to Abaco, a group of islands and barrier cays in the northern Bahamas.

The digital currency is existence developed under the initiative chosen Project Sand Dollar and will be the Bahamas' commencement digital currency. The initiative aims to make access to financial services more efficient and non-discriminatory.

Bahamas' digital currency can reduce the ill furnishings of greenbacks

In a document outlining how the initiative will operate, the CBOB explained that the digital currency could "reduce the ill furnishings of cash usage." Co-ordinate to the Central Depository financial institution the and so-called sand dollar, would also "finer strengthen national defenses against money laundering, terrorist financing and other illicit abuses of the financial system." The CBOD added:

"Greenbacks usage also imposes physical security risks on businesses and creates more exposure to fraudulent losses relative to electronic betoken of sales transactions. As it relates to physical safety, a widely adopted CBDC would likewise identify users at less risk of tearing crimes that target holders of greenbacks, and potentially reduce security and insurance costs associated with keeping cash on business concern premises."

Digital currency specially useful after natural disasters

In Oct, the governor of the CBOB, John Rolle, said during a speech at the Counsellors Limited'southward Exuma Business organization Outlook at Sandals Emerald Bay, that the Bahamas' digital currency would have the ability to free the land from dependence on cash, which would be particularly useful afterwards a natural disaster. He explained:

"It would permit wireless restoration of payments connectivity, avoiding the greenbacks shipment and cash handling frustrations. It would permit electronic dispersing of assistance and let families to recapture personal nobility by restoring the flexibility to prioritize the elements of personal need that they prefer to satisfy postal service-disasters."