I'm not sure what to think of this. Does a central bank backed digital currency still require proof of work? I didn't dig too deep but didn't see anything explaining what the structure would look like (I guess that's part of the process of determining what's appropriate).

If you access via an app, would it be open like bitcoin where anyone can maje an app, or would you have to install an RBNZ app only available on Google Play and the Apple App Store?

My initial thought was I wouldn't put much money in it, but then realised it's intended to be a form of cash and I don't keep much money in cash either.

So I guess if they do a good job I might use it for small transactions?

[–] Rangelus@lemmy.nz 3 points 6 months ago (1 children)

I would assume this has little to do with traditional cryptocurrencies, but uses Blockchain as it's leger.

If I were in charge of this project, I would have a centralized validation system, maybe a series of servers across the country for redundancy. It doesn't need PoW or PoS as all validation is run by the RBNZ.

As for what this solves, I can think of a few things:

Opening up fiat interaction with other cryptocurrencies
Much lower fees for digital transactions
Near-instant transactions
Physical storage of digital funds. Paper wallets and other secure methods
From the govt point of view, perfectly tracible cash transactions

[–] JamesNZ@lemmy.world 1 points 6 months ago

Yes, this.

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