Britcoin, the Bank of England’s CBDC, may not use blockchain technology.

The Bank of England is still considering which technology will support its Central Bank-Backed Digital Currency (CBDC).

All other central banks are using Blockchain technology to issue their national digital currencies. However, the Bank of England has not made a decision yet.

The head of the BOE’s CBDC project, Tom Mutton, stated that all options are being considered as the central bank continues its research on whether creating a digital pound, known as Britcoin, is worthwhile.

• Bitpanda Pro rebrands and secures $33M in funding led by Peter Thiel.
• FTX has reportedly suspended the $500M sale of its stake in AI firm Anthropic.
• Voyager to pay $1.1M in April legal fees.

In a podcast interview with Bloomberg, Mutton mentioned that during a meeting with technologists hosted by the central bank to discuss the design of the digital pound, there was no unanimous agreement at any point.

BOE Plans To Trial Other Versions Of Ledger

The Bank of England is exploring different versions of ledgers for its CBDC, including public blockchains similar to those underlying cryptocurrencies like bitcoin.

Blockchain technology has proven itself to be more efficient than existing payment systems.

Currently, over 100 central banks worldwide are exploring the possibility of introducing a national digital currency.

The head of the BOE’s CBDC project stated that they definitely want to be compatible with distributed-ledger business models in the private sector, but they are unsure if distributed ledgers offer more efficiency than conventional ledgers. “It is very much open,” Mutton added.

Britcoin is Still Years Away

The discussion on the underlying technology of England’s CBDC comes two years after the launch of a task force by His Majesty’s Treasury and the BOE to study CBDCs.

Mutton indicated that the earliest possible appearance of a CBDC would be in the second half of this decade.

England’s digital currency is unlikely to feature the BOE’s branding, as consumers would primarily use “Britcoin” through wallets developed by private sector companies, according to Mutton.

The head of England’s CBDC project further added that they do not want people to see this as a Bank of England product.

“It might be best to see it as something which is a way of paying, which is offered by your private-sector wallet, and you just know it’s very, very safe.”