IBM is a major player in the computer technology industry, and it has been experimenting with Bitcoin for the past few months. In late 2014, the company revealed ADEPT, a proof of concept project that integrates the blockchain into the “Internet of Things,” allowing household devices to communicate with one another more effectively.
Now, there are rumors that IBM is creating an entirely new digital currency altogether, one which may be offered as an alternative to Bitcoin.
Reuters reported that IBM was thinking about developing its own digital currency, saying that:
“The objective is to allow people to transfer cash or make payments instantaneously using this technology without a bank or clearing party involved, saving on transaction costs, the person said. The transactions would be in an open ledger of a specific country’s currency such as the dollar or euro, said the source, who declined to be identified because of a lack of authorization to discuss the project in public.”
The IBM currency would also be similar to Bitcoin in that it would have a payment ledger that would “work in a similar way” to Bitcoin.
Reuters’ source for this story told them that IBM has been undergoing informal discussions about a “blockchain-tied cash system” with several central banks, including the United States Federal Reserve. According to the source, if the central banks approve the project, IBM will begin constructing the infrastructure for its currency project.