This month the president of the Central Bank of Uruguay, Mario Bergara, launched a pilot plan for the use of digital banknotes through the application e-Peso, which allows transforming mobile devices into mobile wallets (www.epeso.com.uy).
Unlike other digital payment platforms, e-Peso does not use mobile devices to give transfers orders. Instead, the money is associated to the devices and can be transferred from one user to another. These digital banknotes are exactly the same as the paper ones, including the serial number, signature and the corresponding registration with the Central Bank.
The total traceability of the banknote, from the time it leaves the Central Bank, is another big advantage, as it makes it possible to combat money laundering or to recover the money in case of theft.
e-Peso can be used both by users with Android and iOS smartphones as well as by those who do not have smartphones (thanks to USSD technology) by calling to *228#.
This 6-month pilot plan includes 20 Million Uruguayan Pesos in digital notes and up to 10,000 users. Participants must have reached the legal age and have mobile devices from the MNO Antel.
With this initiative, the Central Bank of Uruguay becomes the first central bank worldwide to issue digital banknotes. At Inswitch we feel proud of being part of this project, together with the Central Bank of Uruguay and The Roberto Giori Company.