Danmarks Nationalbank wants to ensure that Danish banknotes are secure and efficient means of payment now and in the future. Until 31 May 2025, all banknotes issued from 1945 onwards were valid as a means of payment, but they could not all be used in the same way. This could risk damaging confidence in cash.
Paying with older banknotes could be difficult, as store staff and private individuals may not recognise them and could therefore be unwilling to accept them.
Banknotes issued from 1997 onwards could be used in ATMs and the closed cash systems of the retail trade. This was not the case for pre-1997 banknotes.
The 1000-krone banknote was not needed to support secure and efficient payments in Denmark – both because cash is being used less and less, and because cash payments generally involve quite small amounts. Furthermore, anti-money laundering rules limit the size of cash payments.
In addition, phasing out the 1000-krone banknote could entail certain advantages, such as reducing the need for stores to keep change. Furthermore, although the number of counterfeit Danish banknotes remains low, the 1000-krone banknote was increasingly subject to attempts at counterfeiting.
Finally, the police estimated that the 1000-krone banknote was used to a greater extent than other banknotes to support various types of financial crime.
The older coins are still valid as a means of payment. The focus was on the older banknotes, which represented a larger amount. If you have old coins at home, you can deposit them in your own bank, unlike the older banknotes.
Danmarks Nationalbank does not earn money from producing or issuing banknotes as such. The value of the banknotes put into circulation by Danmarks Nationalbank is offset by the fact that the holder of the banknote – a citizen, company, bank or similar – has a corresponding receivable from Danmarks Nationalbank.
When Danmarks Nationalbank produces banknotes and puts them into circulation via the banks, it is effectively an exchange transaction where physical money is exchanged for digital money from the banks' account at Danmarks Nationalbank (or from a loan the banks can take out with Danmarks Nationalbank). When banknotes are returned to Danmarks Nationalbank – because demand for cash falls or notes are withdrawn – the process is reversed: Danmarks Nationalbank takes back the banknote and provides either digital funds in an account or other banknotes in exchange to the citizen, company or individual who has handed in the banknote.
When 1000-krone banknotes and older banknotes became worthless after 31 May 2026, and the receivable thus disappeared for the banknotes that were not exchanged before the deadline, Danmarks Nationalbank would achieve an extraordinary one-off income that will be reflected in its 2026 accounts.
Although Danmarks Nationalbank does not earn money directly from issuing banknotes, like other central banks it does earn an indirect return known as seigniorage.
When Danmarks Nationalbank produces banknotes and puts them into circulation via the banks, it is effectively an exchange transaction where physical money is exchanged for digital money from the banks' account at Danmarks Nationalbank (or from a loan the banks can take out with Danmarks Nationalbank). When banknotes are returned to Danmarks Nationalbank, the process is reversed.
The money that Danmarks Nationalbank temporarily receives in exchange for banknotes can earn interest or a yield until the banknotes are returned and must be exchanged again. That return or yield is called the seigniorage.
The banknotes that were not exchanged by the deadline became worthless. A significant share of these notes is believed to have already been lost. As a result, a large part of the outstanding amount in banknotes did not represent a real value in society but only appeared on Danmarks Nationalbank's balance sheet.
For the remaining notes that have not been lost but were not exchanged before the deadline, the overall economic impact is expected to be limited. This is because these banknotes have already been invalid as a means of payment in shops and banks since 2025, and in most cases they no longer played a role in everyday household finances.
Until 31 May 2026, all private individuals and businesses had the right to have 1000-krone banknotes and older banknotes exchanged if they met the applicable documentation requirements under the anti-money laundering rules. This right lapsed after 31 May 2026 and it is no longer possible to have the banknotes exchanged as a rule.
Danmarks Nationalbank may, if circumstances warrant, choose to exchange recalled banknotes in special circumstances. However, this will only be in very special cases where there are deemed to be such special circumstances.
Older Danish banknotes and 1000-krone banknotes have become worthless after 31 May 2026. They cannot be exchanged with Danmarks Nationalbank.
Danmarks Nationalbank may, if circumstances warrant, choose to exchange recalled banknotes in special circumstances. However, this will only be in very special cases where there are deemed to be such special circumstances.
No, that is not possible to buy the banknotes that have been deposited.
Damaged banknotes and coins must be exchanged via your own bank. Check your bank’s website to find out how it handles this.
The Faroe Islands have their own banknotes, which have the same value and format as the Danish banknotes. The initiatives for Danish banknotes do not invalidate the Faroese series of banknotes, and the Faroese 1000 krone note will not be recalled.