The Bank of Lithuania issues a cryptographic collectible coin "LBCoin" created by NEM
To celebrate Lithuania's independence, the Bank of Lithuania plans to issue a blockchain-based digital collector coin called "LBCoin." The coin is expected to be issued in the first quarter of 2020 and will have a value of 19.18 euros per piece.
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According to the official announcement, the commemorative cryptocurrency will be available for purchase from the bank's e-shop next year and can be used to redeem fiat currency. However, collectors must collect a complete set of coins in order to redeem them. Lithuania had 20 signatories when it declared independence, so there will be tokens representing each signatory that can be collected.
A set of commemorative coins will be divided into six categories of 24,000 coins each based on the signatories' features, and when purchased, they will be shipped randomly. Collecting all six categories is necessary for redemption. A bank spokesperson stated:
The project utilizes NEM blockchain technology, and the commemorative coins will be stored in a private wallet provided by the Bank of Lithuania, with the possibility of transferring the tokens to an NEM blockchain wallet.
In fact, Lithuania introduced blockchain technology as early as 2018 and established a Blockchain Center in the capital Vilnius with many renowned companies participating, including PricewaterhouseCoopers, the Israeli Blockchain Association, and the Lithuanian Market Association.
In addition, the Bank of Lithuania collaborated with IBM and software developer Tieto Lithuania to create its blockchain platform, LBChain. This solution serves as a regulatory sandbox, enabling blockchain startups to develop applications more effectively.
Regarding the recent focus on Central Bank Digital Currencies (CBDC) by various countries, the Bank of Lithuania also released a global commentary on CBDC. Board member Marius Jurgilas stated:
The pace of development in digital assets and currencies is fascinating, and this technology must be approached with caution. Otherwise, regulators might resort to old-fashioned management, causing dissatisfaction among startups with outdated regulations. The best approach is to face risks in a controlled environment and gain practical experience.
Jurgilas also pointed out that with the growing interest in CBDCs worldwide, the upcoming issuance of LBCoin serves more as a comparative experiment and can be seen as a more practical real-world test within the discussions surrounding CBDCs.
The launch of the commemorative cryptocurrency "LBCoin" signifies another step forward for the Bank of Lithuania in its strategic direction towards innovation and financial technology.