The island country, Jamaica, creates history and has become the first country in the world to announce CBDC as a legal tender, along with physical notes and coins.
According to Richard Byles, the Governor of the Central Bank of Jamaica, the CBDC would offer a more ‘secure, convenient alternative to physical notes and coins, and can be used without a bank account.’
The country’s senate authorized the Jamaica National Bank to issue the Jamaica Digital Exchange, or Jam-Dex, via an amendment. The Jam-Dex will be released for domestic use later this month.
The CEO of CBDC technology provider eCurrency, Jonathan Dharmapalan said, “Legislators in Jamaica have all now unanimously moved a digital dollar forward in Jamaica. You can use this to settle any debt in Jamaica. It is the medium of exchange. It is the medium of account.”
Dharmapalan believes that it was the success of the pilot of Jam-Dex in 2021, which made this possible, however making it a legal tender will uncover its true value.
The meteoric rise of the popularity of CBDCs can be seen across the globe. Countries are hard at work trying to figure out the design and the pathway for CBDCs introduction into the economy.
