The Governor of the Central Bank of Jamaica, Richard Byles, announced that the digital currency, CBDC, will be available to the public between the months of June and August in order to improve the quality of life of Jamaican entrepreneurs and consumers.

The objective of the currency, known as Digital Jamaica or Jam-Dex, is “to make life easier for business owners and consumers,” said the governor, who also noted that “Jamaica’s economy is based primarily on cash, and a digital Jamaican dollar offers a safer and more convenient alternative.”

As will be recalled, the financial institution began the pilot test in 2021 with the slogan “no cash, no problem”, granting the equivalent of 16 dollars to the first citizens who participated in the test.

According to Byles, the use of digital currency will save money and the economy will be more efficient because the state currently spends more than “7 million US dollars” annually on the replacement of banknotes.

Jamaica digital currency on the market

The Jam-Dex currency will be for domestic use only and will operate under a hybrid model. It will be issued by the central bank to commercial banks and other deposit-taking institutions, which will be responsible for distributing it to the retail market.

The hybrid operating structure is similar to that recommended by the Federal Reserve, which maintains that central banks are responsible for “minting, issuing and redeeming the digital currency but are not involved in administration.”

The authorities have great expectations for Jamaicans to use the digital currency, as it is an accessible and free mechanism through an application that all Jamaicans will be able to install on their mobile phones.

Governor Byles is confident that people will be more friends with the banking network, which will increase the number of banked inhabitants in the country.

M. Rodríguez

Source: diariobitcoin.com

La entrada Jamaica will launch its Jam-Dex in June 2022 apareció primero en Bitfinance.

The Bank of Jamaica, BOJ, through its CBDC division officially announced the demonstration of the minting process of the digital currency, within the framework of a financial ceremony, where the Minister of Finance of Jamaica, Nigel Clarke, the governor of the BOJ, Richard Byles, and a group of top BOJ executives, as well as a management team from Irish technology firm eCurrency Mint.

Jamaica is making strong progress with a digital version of the Jamaican dollar, minting the nation’s first batch of CBDCs. According to the announcement: the Bank plans to issue a total of 230 million JMD, equivalent to 1.47 million dollars, in the form of CBDC for those institutions that accept deposits and authorized payment service providers as part of a digital currency pilot program ending in December.

Finance Minister Nigel Clarke noted that the country’s legislative representatives are “working on a legislative amendment to provide a legal basis for Jamaica’s CBDC by the end of 2021“, further acknowledging the speed with which the project has been developed. of digital currency in the country.

For his part, Richard Byles, BOJ governor, explained that CBDC’s next step will be to “guarantee widespread access and acceptance by bringing CBDC to users“, for which they plan to apply strategies that allow it to obtain different benefits between which highlight easier access means for efficient and secure payments.

All this process of digitizing the currency in the country will allow the BOJ and the other institutions responsible for accepting deposits an opportunity “to improve the processes and costs of cash management.”

The development schedule of the project on the creation and implementation of digital currency in the country is progressing adequately. The CBDC has the responsibility to “complete the Jamaican banknotes, which allows financial institutions to issue the currency to individual and commercial account holders with each digital token linked to the JMD in a 1: 1 ratio.”

M. Rodríguez

Source: es.cointelegraph.com

La entrada Bank of Jamaica issues its first digital currencies apareció primero en Bitfinance.