The leadership of the Central Bank of Ghana announced that the digital cedi will not function using blockchain technology, as the regulator doubts its security.
Speaking at the MoMo Stakeholder Forum, Bank of Ghana Associate Chief Financial Officer and Innovation Clarence Blay said that the safety and trust of citizens in eCedi is of paramount importance to the central bank.
According to Blay, a unique technological solution will be used to deploy the digital currency of the Central Bank of Ghana, but this is not a blockchain. Blay acknowledged that blockchain has great potential, but it is not yet a mature technology.
“We understand that blockchain has good prospects in the field of payment services, but this technology still needs to be studied, tested and improved,” Blay said.
Regarding the benefits of eCedi for making payments and implementing the government’s digitalization program, Blay said that the Central Bank’s digital currency will streamline transactions on existing digital payment platforms. The regulator will continue testing the digital cedi and will inform the public when it is ready for its launch.
In March, the Bank of Ghana announced its intention to release a hardware wallet for its own stablecoin, so that even technically illiterate citizens of the country could use it.