Gas Was Pressed For Blockchain-Based Digital Money In This Island Country
Marshall Islands, the country plans to be “groundbreaking” with digital currencies called Sovereign (SOV). The project can also lead the way governments respond to crises such as the COVID-19 outbreak.
According to interview with Marshall Islands’ crypto consultant Joel Telpner, Telpner stressed that the “project is still facing many challenges”, but is looking forward to the day they will get the results of their efforts.
The current phase of the SOV project
Telpner said the government is now at an 18-month stage. He stated that they created an entity called “preSOV”, which would later turn into SOV:
“This 18-month period allowed us to gradually release preSOV and determine the required quantities when testing the infrastructure; so we will be able to test the network and blockchain as preSOV enters the market. We will also be able to test all regulatory and compliance provisions and technology.
The “Sovereign Currency Act” of 2018 entered into force on February 26, 2018, thus the development phase of the country’s digital currency project began.
As for PreSov, Telpner said they hope they will be released “in the next few months”. He also admitted that people without a technological background should continue to organize on the way the cryptocurrency is presented.
Telpner said: “The Marshall Islands do not intend to directly launch the currency in one go. Not a good idea.”
Marshall Islands could set an example to other small nations
Marshall Islands’ SOV consultant talked about how the project can be a reliable reference for other countries that want to follow the same path. They think this will help “the government is a good way to empower its citizens” and “create a self-governing identity.”
On the role such digital currencies can play during COVID-19, Telpner said:
“IMAGINE HOW GOOD AND MORE EFFICIENT EVERYTHING WOULD BE IF WE HAD A DIGITAL CURRENCY THAT WOULD COMBINE A SOVEREIGN IDENTITY TO ENABLE THE GOVERNMENT TO GET PEOPLE’S PAYMENTS QUICKLY AND EFFICIENTLY.”
However, Telpner says the digital currency does not have to be based specifically on blockchain technology:
“I THINK WHETHER BLOCKCHAIN SOLUTIONS HAVE BECOME THE PREFERRED FORM OF CREATING, EXTRACTING, AND DISTRIBUTING DIGITAL CURRENCY; IT WILL BECOME CLEAR OVER TIME. ”