Experimentation began in 2017.
The installation is coming.
Before 2017 concluded, multiple global central bank organizations announced their plans of creating government-backed cryptocurrencies. The first to begin experimentation was China in late 2017. According to the Peoples Bank of China (PBOC), their first set of successful bank-to-bank cryptocurrency trials took place on December 15th 2017.
Since then, various other countries including Sweden, Uruguay, Iran, Japan, the US, and others have announced that they too are working on creating government-backed cryptocurrencies. Earlier in the year there was even rumour on Bloomberg that a few previously soviet countries including Russia, Germany, Brazil and China are contemplating the creation of a semi-international cryptocurrency: a supra-cryptocurrency.
India announced their interest in creating a government-backed cryptocurrency back in 2017. India reportedly created a panel of professionals led under Subhash Chandra Garg to research this opportunity back in December 2017. According to a newsbtc.com article, India was originally scheduled to report their plans in summer of 2018, but is now predicted to release than information in late 2018.
In the US, action is being taken in attempts to follow or better China’s progress. It’s been reported that the US Federal Reserve bank of New York as well as Goldman-Sachs are both working on the creation of a virtual US dollar. A US-based Fintech company entitled Circle is receiving funding from Goldman-Sachs and appears to be leading the creation of a virtual US dollar. One of the main goals at Circle is to solve the problem of the unstable markets Bitcoin and other altcoin users suffer from. How? By creating a centralized cryptocurrency.
Now you wouldn’t be alone if you’re thinking that these government-backed projects are very un-cryptocurrency like. Most people believe that a founding principal of cryptocurrency is the idea of not having a central authority. Cryptocurrencies are supposed to allow people financial freedom.
Jacob Eliosoff feels the same way about government-backed crypto stating, “To me the idea of cryptocurrency is free of control from any person and institution. There’s nothing cryptocurrency about these.”
How do you feel about government-backed cryptocurrencies?
Isn’t this the decentralized revolution?