The Bank of Jamaica(BOJ), in the quest to facilitate its Central Bank Digital Currency(CBDC), allied with e-currency. The provision of technical aids for the nationwide adoption of Jamaica’s CBDC will be carried out by e-currency. The country’s CBDC, known as JAM-DEX, will be adopted as a global lender tender in subsequent years. eCurrency has allied with the BOJ for the foreseeable future.
How Jamaica Authorized JAM-DEX As a Legal Tender
Historically, Jamaica is one of the prime states that incorporated and authorized CBDC as legal tender. One of the processes the government took was the amendment of the BOJ Act. The Jamaican Parliament amended it in June 2022.
Also, the Governor General formally signed the BOJ Amended Act 2022 into law. However, section 5 of the BOJ 2022 Act declared BOJ as the only emitter of Central Bank Digital Currency in the country. Also, the bank was permitted to reinforce its anti-counterfeiting regulations, which will enhance the security of digital assets.
The BOJ has positively annexed the prevalent opportunities in the digital space. CBDC is presently produced, distributed, and redeemed by the Bank of Jamaica. The Bank announced the motion for national adoption following a thriving CBDC test using e-currency last year.
The BOJ deputy governor Natalie Haynes stated that “The BOJ is happy to work with e-currency to introduce JAM-DEX to the Jamaican community on a nationwide scale. It permitted the unbanked and underbanked persons to participate in the formal monetary system. Also, access to other financial products will be made available for all Jamaicans.” He asserted that JAM-DEX would be a turning point in the nation’s digital transformation
Benefits of the BOJ Collaboration With e-Currency
BOJ has fulfilled its promise of advancing the financial sphere of Jamaicans by unveiling the digital currency JAM-DEX. Also, it encouraged the growth of the digital economy and broadened financial inclusion. BOJ customers will be permitted to send and accept payments daily from any geographical location with any smartphone.
The technical aids provided by CBDC made payment via JAM-DEX stable, simple, and secured. Also, Stratas of security was included in the e-currency solution to guard against fraud while enabling global interoperability and wide distribution.
The BOJ will continue to be the sole emitter of the national digital currency. However, other regulated financial institutions will be permitted to distribute JAM-DEX to the general public.