Cryptocurrency awareness and usage differ across borders. The Nordic countries have been some of the most welcoming to the trailblazing financial revolution that is crypto, and Sweden is now taking it further.
Although crypto usage is already available to some degree in Sweden, the central bank is also wanting to get involved with digital coins, albeit this time a centralized version. Learn more about cryptocurrency payments in Sweden and how the central bank of Sweden is developing its crypto.
Where can You Use Crypto in Sweden?
Sweden is similar to most countries in that crypto payments can be used more often online. Online sites such as an online casino, e-commerce store and even Wikipedia donations can all be made in cryptocurrency in Sweden. Microsoft, Steam and some Swedish food delivery services all accept bitcoin and other popular cryptos.
It is less common to find a Swedish café or bar that is accepting crypto payments, although not impossible as some do exist. Yet, the presence of cryptocurrency acceptance in the country contributes to growing crypto adoption.
Sweden Testing a National Cryptocurrency
Cryptocurrencies are known for their disruptive nature going against central authorities. That is why a blockchain is not controlled by one entity and why no banks are involved. Despite this, many central banks have toyed with the idea of launching their digital coins equal to the national fiat currency. This is already in a later stage in China – and now it is being thought up in Sweden too.
The central bank of Sweden, namely Sveriges Riksbank, has started testing the use of an electronic version of the Krona, aptly named the e-Krona. The reason for testing such a currency is stated to help improve processes of handling, sending and depositing money in Sweden using technologies such as apps. It is also a move to help navigate society away from cash. Something that is already happening on its own, thanks to the convenience of contactless payments.
However, it is also thought to help protect the original fiat currency from being weakened if people start using more decentralized cryptocurrencies. The bank’s pilot involves issuing e-Krona to banks who will then distribute it to Swedish residents. The whole purpose of this stage of the pilot is to raise awareness of the e-Krona within the nation.
Would It Be the First National Cryptocurrency?
Lots of countries have been rumored to consider creating a national digital currency, but few have been seen making any moves. Although Sweden is undoubtedly among the pioneers of the idea, they would not be the first to make a national cryptocurrency.
The Bahamas have already been testing their coin and have decided to roll out the venture. It is expected that their national cryptocurrency will be available in the second half of 2020. As mentioned, China has also been designing a coin, but its testing phase may have slowed down and does not seem to be ready yet. It is also possible that the severe outbreak of the coronavirus in China may have halted developments of their coin – which is a real test of Bitcoin as well.