Solomon Islands and Soramitsu Launch CBDC Pilot

TL;DR:
Bokolo Cash is a central bank digital currency (CBDC) proof-of-concept by the Central Bank of Solomon Islands (CBSI) and SORAMITSU, enabling mobile QR code payments for selected users.
Built on Hyperledger Iroha 2, it explores digital retail payments, interbank settlement, and simulated cross-border transfers.
The PoC tests how blockchain-based digital money can support financial inclusion across Pacific Island economies.

Modernizing Payments Across the Pacific

This article explores Bokolo Cash, the Central Bank of Solomon Islands’ CBDC pilot built with SORAMITSU, and how it connects to broader regional blockchain developments.

Few financial initiatives in the Pacific match the ambition of Bokolo Cash—a digital currency PoC created by the Central Bank of Solomon Islands (CBSI) and Japan’s fintech firm SORAMITSU.

The project bridges traditional banking with next-generation digital money, delivered directly through mobile devices, prioritizing accessibility in a region where mobile penetration is far higher than formal banking access.

Key Takeaways

• CBDC PoC: Bokolo Cash tests digital Solomon Islands dollars for domestic payments.
• Built on Iroha 2: Hyperledger Iroha 2 provides a permissioned blockchain foundation suitable for central bank use.
• QR Payments: Users make near-instant payments by scanning merchant QR codes.
• Regulated Pilot: A two-tier KYC model, transaction limits, and CBSI oversight maintain compliance.
• Inclusion: Designed to extend financial access across a geographically dispersed island nation.
• Simulated Cross-Border Transfers: The PoC architecture demonstrates how CBDCs might interoperate with public networks.

A Partnership for the Future

The Central Bank of Solomon Islands selected SORAMITSU due to the company’s experience with national digital currency systems, particularly Bakong in Cambodia. Bokolo Cash adapts these learnings for the Pacific context, where access to physical banking services is limited but mobile connectivity is strong.

The PoC explores how a central-bank-issued digital currency can complement the Solomon Islands dollar, reduce dependence on physical cash, and support both person-to-person and merchant payments.

What Is Bokolo Cash?

Bokolo Cash is a mobile wallet system enabling participants in the Solomon Islands to send and receive digital Solomon Islands dollars instantly. Each Bokolo token represents one Solomon Islands dollar issued within CBSI’s PoC environment and recorded on a permissioned blockchain built by SORAMITSU.

Users open the app, scan a QR code, enter the amount, and confirm. Payments settle in seconds, with digital receipts generated for both parties.

As of late 2023, testing includes:

• Retail payments in Honiara
• Interbank transfers between CBSI and commercial banks
• Simulated remittances for cross-border scenarios

The Technology: Hyperledger Iroha 2

Hyperledger Iroha 2 powers Bokolo Cash. It is an enterprise-ready, Rust-based permissioned blockchain designed for regulated money systems.

It also shares lineage with the technology underpinning SORA v3, though the two systems serve different purposes:

• Iroha 2: Regulated, permissioned CBDC infrastructure
• Iroha 3 (SORA v3): Public, decentralized hub chain

Byzantine Fault Tolerance

Iroha 2 uses BFT consensus to maintain reliability even if some nodes fail or behave maliciously — a key requirement for national-level financial infrastructure.

Enterprise Features

• Granular permissions for role-based access
• Native asset handling for efficient token management
• Deterministic commands for auditable operations
• Complete transaction history for regulatory oversight

Connection to SORA

Bokolo Cash and SORA both rely on the Iroha family of technologies. This shared foundation allows the PoC to safely demonstrate controlled interoperability.

Within the scope of the PoC, participants use Fearless Wallet to bridge CBDC tokens to the SORA network to simulate cross-border payments. This cross-chain experiment remains sandbox-limited and is not a public feature.

For additional technical details, see the
Iroha 2 documentation.

CBDC vs Traditional Banking

This illustrates how CBDCs can increase efficiency and expand financial access when designed for mobile-first populations.

Security and Oversight

All Bokolo Cash activity operates under CBSI supervision. Security features include:

• End-to-end encryption
• Multi-factor authentication
• Transaction limits and monitoring
• Central bank custody of all digital funds

The system runs within CBSI’s regulatory sandbox, where Bokolo Cash is treated as legal tender only within the pilot’s defined scope.

Why It Matters

With more than 900 islands, the Solomon Islands faces major logistical challenges in delivering financial services.

Bokolo Cash seeks to address these challenges by offering:

• Secure digital payments
• Reduced reliance on physical cash
• Easier access for unbanked and underbanked citizens

The broader context mirrors a global trend: smaller and developing economies testing CBDCs to modernize payments while protecting monetary sovereignty.

The SORA Connection

Bokolo Cash and SORA highlight two complementary workstreams within the SORAMITSU ecosystem:

• CBDCs: Permissioned, regulated digital money systems
• DeFi: Open, decentralized economies on public blockchains

The Bokolo Cash PoC uses:

• Hyperledger Iroha 2 as the regulated CBDC platform
• SORA as the public interoperability layer for simulated cross-border transfers

This dual-layer approach demonstrates how a central bank can explore controlled cross-border use cases while maintaining full regulatory authority.

Learn more in:

• Blockchain vs DeFi guide
• SORA ecosystem overview
• How XOR, VAL, and PSWAP Power the SORA Ecosystem

SORAMITSU’s Expanding Role

From Cambodia’s Bakong to Laos’ Digital Kip (DLak) and the Digital Kina PoC in Papua New Guinea, SORAMITSU is actively shaping CBDC innovation across Asia-Pacific.

These projects share common goals:

• Secure digital payments
• Transparent and auditable infrastructures
• Broad financial inclusion

The Solomon Islands PoC adds to a growing body of research into the future of digital money in Oceania.

Learn more at the
official Bokolo Cash page.

Conclusion

The Bokolo Cash PoC marks a pivotal step in Pacific digital finance, providing CBSI and its partners real-world data on how a CBDC could function.

By combining SORAMITSU’s blockchain technology with CBSI’s regulatory framework, the PoC demonstrates how mobile-first nations can explore digital currency safely and effectively.

As of 2025, the broader SORA and Iroha ecosystem shows how regulated CBDCs and decentralized networks may eventually interoperate, while still respecting sovereign monetary policy.