The 500-krone banknote was issued in 2012 with updated security features. The motifs are a shore crab printed in intaglio and a watercolour depicting Hvannasund, the channel between Borðoy and Viðoy.
The common motif on the notes depicts Faroese animals. On the face of the notes the animals are shown as fragments. On the reverse, watercolours of Faroese landscapes by the Faroese artist Zacharias Heinesen (b. 1936) are reproduced. The fauna motifs contribute life and variation to the notes, while the watercolours lend a special quality of lightness.
The currency in the Faroe Islands is 1 króna and the exchange rate to the Danish banknotes is 1:1. The Faroese banknotes are regarded as a foreign currency in Denmark thus they are not legal tender in Denmark, nor are Danish banknotes legal tender in the Faroe Islands.
However, Faroese banknotes can be encashed to Danish banknotes free of charge at Danmarks Nationalbank in the same way as Danish banknotes can be encashed to Faroese banknotes in the Faroe Islands. The coins in the Faroe Islands and in Denmark are the same.