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Eurosystem Seeks Providers of Prototype Payment Solutions for Digital Euro

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Eurosystem Seeks Providers of Prototype Payment Solutions for Digital Euro

Eurozone’s monetary authority, the Eurosystem, is looking to enlist financial companies willing to develop front-end solutions for the digital euro. The plan is to carry out a “prototyping exercise” this year to test transactions to the back-end developed by the regulator.

Eurosystem to Select Front-End Providers for Digital Euro Project

Within the ongoing investigation into the possible issuance of a digital euro currency, the Eurosystem intends to conduct an experiment which will, among other objectives, test end-to-end transactions with the central bank digital currency (CBDC), the European Central Bank (ECB) announced before the weekend.

The authority, which consists of the ECB and the central banks of the eurozone members, is looking for parties interested in offering front-end prototypes for the trials. Transactions will start at their front-end prototype and will be processed through the interface into the back-end, both developed by the Eurosystem.

Payment service providers, banks, and other relevant companies have been invited to participate as front-end providers of technical solutions designed to facilitate digital euro payments. The deadline for their applications is May 20. The prototyping exercise is scheduled to start in August and may continue until the first quarter of 2023.

The goal is to gather a pool of front-end providers with which the Eurosystem will cooperate in the development of user-facing prototypes, the announcement detailed. The authority will invite potential participants to explain the use cases for their prototypes. A limited number of providers, up to five the Eurosystem said, will then be selected.

They will sign contracts with the financial authorities of the eurozone and will be expected to organize the prototype development. Throughout the process, the providers will be able to share their feedback on the Eurosystem interface and back-end infrastructure, including by presenting specific data requirements to support a certain business model.

The project to launch a digital version of the common European currency entered its investigation phase in October, last year. In February, news came out that the European Commission is planning to propose a bill laying down the legal foundation for the currency early next year. Fabio Panetta, a member of the Executive Board of the ECB, recently stated that the bank is focusing its efforts on the digital euro.

Do you expect other initiatives to test the digital euro platform in the near future? Tell us in the comments section below.

Bank of Russia to Pilot Digital Ruble Settlements in 2023

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Bank of Russia to Pilot Digital Ruble Settlements in 2023

Russia’s monetary authority intends to conduct the first settlements with the digital ruble next year, its governor announced this week. Speaking to Russian lawmakers, the official highlighted the important role the new currency is going to play for Russia under sanctions.

Russia to Trial Digital Ruble in Settlements, International Payments

The full launch of the digital ruble, Russia’s central bank digital currency (CBDC), should take place before 2030, according to the approved Financial Market Development Strategy of the Ministry of Finance. However, the Central Bank of Russia (CBR) plans to begin testing it in settlements as early as 2023, its Chair Elvira Nabiullina announced in the State Duma. Quoted by Tass, she elaborated:

We quickly created a prototype of the digital ruble, now we are already testing with banks. Next year, we will pilot settlements in the real economy.

The CBR started trials with the digital ruble in January and announced the first successful transactions between individual wallets in mid-February. Five financial institutions are currently participating and in the coming months, another seven banks will join the experiments that are expected to continue throughout 2022.

The digital ruble, Nabiullina insisted, will create new opportunities for Russia, its citizens, and businesses. It will be used by the government for targeted payments to support certain sectors of the economy and the social sphere. Transfers between individuals will be free of charge, while payments for goods and services may be subject to a small commission of 0.4 – 0.7%.

Speaking to members of the lower house of parliament, the governor emphasized that the digital currency will play a special role, now when Russia is under unprecedented Western sanctions. The CBDC is expected to facilitate not only settlements inside the Russian Federation, but also cross-border payments with its partners.

The head of Bank of Russia expressed her hope that Russian deputies will adopt the necessary legal amendments to set the ground for the digital ruble’s commercial implementation. Her call comes after earlier this week, First Deputy Governor Olga Skorobogatova emphasized the importance of moving forward with the digital ruble project and assured the bank will not delay the trials.

Do you think Russia will speed up the implementation of the digital ruble? Share your expectations in the comments section below.

Close to 250 Casascius Physical Bitcoins Were Redeemed in 6 Months, $1.9B in BTC Remain Active

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Close to 250 Casascius Physical Bitcoins Were Redeemed in 6 Months, $1.9B in BTC Remain Active

Since September 18, 2021, close to 250 Casascius physical bitcoins were redeemed over the last 198 days. On that day six months ago, there were 19,920 Casascius physical bitcoins left active and today, there are approximately 19,676 left to peel.

19,676 Casascius Physical Bitcoins Left to Peel

During the last six months, approximately 244 Casascius physical bitcoins were redeemed for their digital value. The Casascius physical bitcoin collection created by Mike Caldwell is one of the most popular physical BTC collections. The rare coins are often sold for more than the digital face value and today, there are 19,676 physical coins left unredeemed or active, according to casasciustracker.com stats.

Each physical bitcoin has a different fraction of digital BTC, as some coins carry .5 in BTC value while some hold a single BTC. Caldwell also made gold bars with bitcoins loaded onto them like the popular 100 BTC gold bar. There are Casascius physical bitcoins that hold 25 BTC and even units that carry 500 to 1,000 BTC. For instance, on March 30, 2022, an “S1-COIN-25” that’s worth 25 BTC was peeled and redeemed for the digital value of $1.14 million.

The S1-COIN-25 also held 25 bitcoin cash (BCH) and 25 bitcoinsv (BSV), but those crypto assets have not been spent by the Casascius physical bitcoin owner. Five days prior, an “S2-COIN-5” was peeled and redeemed for 5 BTC or $230K. That Casascius physical bitcoin owner also saved the 5 BCH and the 5 BSV, as it has not been spent. While there are 19,676 physical coins from the Casascius collection left active, 8,262 have been redeemed so far.

42,516 Bitcoin Worth $1.9 Billion Remain Loaded on Casascius Physical Bitcoins, Unfunded Coins Sell for a Pretty Penny

While there’s a few hundred less than 20K physical coins left unpeeled today, the number does not account for how much BTC is left unredeemed. There are approximately 42,516 BTC (UTXOs) left unredeemed on the 19,676 Casascius coins left unpeeled. According to today’s bitcoin (BTC) exchange rates, that’s $1.9 billion worth of bitcoin.

Furthermore, Casascius physical bitcoins usually sell for higher than the digital value on secondary markets. Even unloaded coins, with the digital funds swept away, can sell for a pretty penny these days. For instance, an unloaded 25 BTC physical bitcoin with the funds swept away is selling for $21,000 on Ebay. In fact, it is hard to find a loaded Casascius physical bitcoin and there’s a slew of unfunded coins on the secondary market selling for collectible purposes only.

On September 18, 2021, there were approximately 43,000 BTC left unspent loaded on 19,920 Casascius physical bitcoins. With 42,516 BTC left unredeemed today, that means 484 BTC worth $22.2 million has been redeemed over the last 198 days.

What do you think about the fact that there are now 19,676 Casascius bitcoins left active today with 42,516 bitcoin left unredeemed? Let us know what you think about this subject in the comments section below.

Kenya Central Bank Governor: Low Smartphone Penetration Working Against Plan to Launch CBDC

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According to Patrick Njoroge, the governor of the Kenyan central bank, the significant number of non-smartphones that are in use in Kenya means launching a central bank digital currency (CBDC) now may be premature and could lead to many citizens being financially excluded.

Central Bank Mulls Delaying CBDC Rollout


The governor of the Central Bank of Kenya (CBK), Patrick Njoroge, has suggested the lack of access to smartphones of more than half of Kenya’s mobile phone users is working against its plan to launch a CBDC. He warned the central bank may be forced to delay its rollout of the CBDC as a result.

According to Njoroge’s remarks published by Business Daily, proceeding with the rollout of the digital currency will likely see Kenyans without a smartphone being locked out. This blockade of non-smartphone users, in turn, works against the central bank’s goal of further narrowing the proportion of the population that is financially excluded.

Njoroge explained:

The CBDC will have a minimum viable technology requirement, which may be a sort of fourth-generation (4G) environment. There is an argument to be made that such a development could lead to greater financial exclusion such that some people may fall out of the financial system just because we have adopted a CBDC… This is something we need to be careful about.


The governor suggested the CBK may have to wait until Kenya has more smartphone users. As noted in the Business Daily report, out of the 59 million mobile devices being used by Kenyans, about 56% or 33 million of these are non-smartphones or feature phones. Feature phones are not internet-enabled, which means owners of these devices are precluded from using a CBDC.

CBDC Safer Than Crypto


Despite pointing out the challenge that may result from the CBDC launch, Njoroge — who has previously expressed his opposition to cryptocurrencies — is still quoted in the report asserting that a CBDC would be “safer and more trustworthy” than privately issued digital currencies.

Meanwhile, Njoroge’s latest remarks concerning the central bank’s plan to launch a digital currency come a few weeks after the CBK released a document discussing the benefits and risks of a CBDC. Also, as reported by Bitcoin.com News, the central bank has asked members of the public to share their views about the CBDC.

What are your thoughts on this story? Tell us what you think in the comments section below.

Russian Banks Told to Track Crypto-Related Transactions Amid Currency Restrictions

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Russian Banks Told to Track Crypto-Related Transactions Amid Currency Restrictions

Bank of Russia has recommended commercial banks pay heightened attention to their clients’ transactions related to cryptocurrencies. The regulator requires the financial institutions to monitor such activity against the backdrop of restrictions on currency operations amid western sanctions.

Monetary Authority Urges Banks to Control Spending Linked to Crypto Assets

The Central Bank of Russia (CBR) has notified banks of the need to track certain transactions including those involving cryptocurrency. The financial regulator has sent out a letter calling on the institutions to identify “anomalies in the transactional activity” of their clients like changes in consumer and investment spending.

According to the document, quoted by Forklog, bank officials should open their eyes for unusual growth in transaction volume, withdrawals to other jurisdictions and transactions associated with digital currency. The monitoring should also cover operations by persons and entities in circumvention of foreign currency restrictions and withdrawal of assets by organizations registered in “unfriendly” countries.

“In such cases, banks are advised to conduct an in-depth check on the client, consider refusing to complete the transaction and classifying it as suspicious,” the CBR said in the notice which had been coordinated with Rosfinmonitoring, the main financial watchdog in the Russian Federation.

Bank of Russia has been a strong opponent to the ongoing efforts to legalize the crypto market in Russia, citing risks for the country’s financial stability and its citizens. In January, the monetary authority proposed a ban on a wide-range of activities such as issuing, mining and trading of cryptocurrencies. It has also previously advised banks to block cards and wallets used to transact with crypto exchanges.

Most other Russian institutions and regulators, led by the Ministry of Finance, have supported a different approach which puts an emphasis on regulation under strict oversight. In February, Minfin submitted a new draft law “On Digital Currency” which aims to legalize crypto operations through authorized Russian banks and fill other gaps in the regulatory framework established with the law “On Digital Financial Assets” last year.

The latest attempt by the CBR to curb crypto-related transactions comes despite recent statements revealing Russia’s interest in using digital currencies to restore its access to global finances, severely limited by sanctions over its military invasion of Ukraine. Western allies have taken steps to prevent Moscow from employing crypto assets to evade the restrictions.

Do you think the Central Bank of Russia can change its attitude towards cryptocurrencies amid mounting sanctions? Tell us in the comments section below.