Bahamas Plans E-Currency to Connect Far-Flung Island Beaches
- Pilot runs started in December; will be nationwide by October
- E-currency is valued 1-to-1 with the Bahamian dollar
The Bahamas is set to beat some of the world’s superpowers in launching a sovereign digital currency.
After piloting the so-called Sand Dollar on the islands of Exuma and Abaco late last year, the central bank will roll out the e-currency nationwide in October. Officials say it will make digital payments easier, especially on the far-flung islands that play a critical role in the tourism-dependent economy.
The monetary authority has just $48,000 worth of Sand Dollars on its balance sheet, valued at 1-to-1 with the regular Bahamian dollar, which is pegged to the greenback. But even at that diminutive scale, the project puts the country at the forefront of a global race to create state-backed digital currencies, a goal shared by behemoths like China as well as Caribbean neighbors including Jamaica and Barbados.