The Bank of Lithuania is about to become the first central bank of the eurozone to issue a national digital currency, Reuters has reported. The regulator will start the pre-sale of 24,000 LBCOIN tokens next week. The central bank deputy governor Marius Jurgilas said:
"No one in the central bank community was thinking about digital currency seriously before we realized that there is a legitimate threat that someone else will take our space."
Jurgilas also noted the LBCOIN is very similar to a central bank digital currency (CBDC). The token can be exchanged at the central bank or in private blockchain networks.
The tokens will be sold in packs of six for €99. The Bank of Lithuania expects users to trade them with others. The LBCOIN can also be exchanged for a credit card-sized physical silver coin with a nominal value of €19.18. Jurgilas added:
"At a time when central banks are beginning to change their thinking on digital currency, LBCOIN is probably the most advanced experimental playground to test different reincarnations of the CBDC. At the moment, the only way to hold central bank-issued money is to hold the physical cash."
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