Sweden’s central bank calls for a reassessment of the e-krona, warning that stablecoins and the digital euro could undermine the domestic currency’s payment standing.
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The Swedish central bank (Riksbank) is pushing lawmakers to re-examine the necessity of issuing an e-krona, arguing that the Swedish krona’s use in payment systems may face long-term pressure amid the growth of foreign stablecoins and the digital euro. Per Jansson, deputy governor of the Riksbank, stated that if cash becomes further digitized and the krona lacks a convenient digital form, the domestic currency may struggle to compete with cross-border digital payment tools. While the central bank has not yet decided whether to officially issue an e-krona, it hopes legislative preparations will start as soon as possible, as the relevant institutional and technical work is expected to take at least five years. Sweden’s cash usage rate has fallen to a low level: central bank data shows only around 5% of respondents used cash for their most recent shopping trip. The Riksbank also believes the e-krona can serve as a backup payment tool during power or communication outages and may support offline payments. If the digital euro secures EU legislative approval, it could launch as early as 2029, and Sweden may draw on its infrastructure in the future.
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