The National Bank of Georgia plans to launch a pilot project to test the state digital currency next year. At the same time, digital lari has nothing to do with cryptocurrencies – it cannot be mined.
reported Vice-President of the Central Bank of Georgia Papuna Lezhava to the Interfax news agency. He said that the digital lari represents “evolved” money powered by the blockchain. Digital lari will not be cumulative or generate interest for users. The digital currency of the Georgian central bank is intended for making retail payments.
The vice president of the Central Bank of Georgia added that the digital lari will function around the clock, and no network connection is required to make transactions using it. One of the main advantages of a digital lari is that it will be compatible with other technologies. The digital currency of the central bank will speed up payments and make them more economical by reducing fees. As a result, the launch of the digital lari will increase the population’s access to financial services, Lezhava said.
“Many central banks have been exploring the possibility of launching their own digital currency for a long time. Some are still at the research stage, others have begun testing, and still others have already started implementing government stablecoins, for example, China and the Bahamas. We also want to be in the “stream” and keep up with other central banks, ”Lezhava said.
According to recent data from the International Monetary Fund (IMF), the potential of government digital currencies is already being explored in 110 countries.