ECCB cooperated with the Caribbean Bitt's financial technology team to launch a regional central bank digital currency.
The Eastern Caribbean Central Bank, the leading financial institution of the Eastern Caribbean Currency Union, has launched DCash.
ECCB announced the launch of CBDC in the region through a media event held on Wednesday.
DCash is the digital version of the Eastern Caribbean dollar, which is the official currency of the eight countries of the Union.
However, DCash is only available in the four member states of the monetary union - Grenada, St. Kitts and Nevis, Antigua and Barbuda and St. Lucia.
Wednesday's launch marked the culmination of the project's two-year development. ECCB first announced its CBDC plan in March 2019.
As part of the launch event, ECCB Governor Timothy Antoine conducted the first real-time cross-border DCash transaction.
According to reports, Governor Antoine sent $100 of DCash from ECCB headquarters in St. Kitts to DCash wallet holders in the other three countries participating in the launch.
Using Bitt's CBDC administration protocol, ECCB will be able to issue DCash. ECCB can also redeem and burn CBDC DCash.
As part of the announcement, ECCB stated that DCash will support commercial and private transactions with suppliers and merchants registered in the DCash Merchant application. Users will also be able to transfer DCash to residents within the currency union.
The reason ECCB chose to cooperate with Bitt is that the company shares common values of civic empowerment through the GSP, and respects and understands the unique needs of emerging economies.
The past two years have been a journey of close cooperation, and both Bitt and ECCB have learned many transferable lessons in the process.
For Bitt CEO Brian Popelka, DCash is a "game changer" for the currency union, adding that CBDC is designed to interoperate with digital currencies around the world.
Following the public offering, both ECCB and Bitt said the next step is to work hard to fully incorporate DCash into the financial infrastructure of the four countries participating in the initial offering next year.
In addition, the two parties are also looking to expand DCash to the remaining four countries of the monetary union: Montserrat, the Commonwealth of Dominica, Anguilla, St. Vincent and the Grenadines.