No More USD? Marshall Islands Approves Official 'Sovereign' Cryptocurrency in 2018 With ICO
The Marshall Islands is set to launch its cryptocurrency called the Sovereign following the Parliament voted to approve an official cryptocurrency as legal tender, a move that could end its reliance on the US Dollar as its official currency.
The Republic of Marshall Islands (RMI), a series of 1,156 volcanic islands and islets in the Pacific with a population of over 70,000, could see a cryptocurrency as legal tender as early as this year. Speaking to Bloomberg, senator and Speaker of Parliament Kenneth Kedi revealed members voted to pivot away from its existing fiat — the US dollar, toward an official local cryptocurrency.
The government will name the cryptocurrency as the 'Sovereign' and will arrange a first coin offering toward enriching budgets, to raise funding. Cryptocurrency exchanges will be invited to apply trade and to list the Sovereign, shown David Paul, minister-in-assistance to the islands' President.
Detailing the need for an coin offering, the official stated:
«This was specifically targeted for the long-term needs of the country.»
A portion of the funds raised will also be allocated to offer health services to taxpayers who continue to suffer from radiation-related illnesses following US nuclear tests for more than a decade on several islands. As the Washington Post reports 67 tests were conducted by the United States in the Marshall Islands. If their combined explosive power was parceled evenly over that 12-year period, it would equal 1.6 Hiroshima-size explosions per day.
'There are still radiation-related cancers that have yet to develop or be diagnosed in the populace of Marshallese who have been on the islands between 1948 and 1970, according to a 2004 report from the U.S. National Cancer Institute.'
The country is continuing to pursue compensation claims with the United States but the latter does not see any pressure to pay it. The Independent Nuclear Claims Tribunal awarded the islands $2.3 billion in health and property damages but that has gone unpaid.
The Marshallese Islands' move to adopt its cryptocurrency would lower its dependence on the United States Dollar. Details are scarce and it remains to be seen when the Sovereign could supplant the USD.
For the time being, the RMI is looking likely to figure among the first countries in the world to adopt an official cryptocurrency.