October 5, 2022

70 Japanese Companies Form Consortium to Launch Yen-based Digital Currency

2 min read

70 Japanese companies have teamed up to form a consortium to launch yen-based digital currency70 Japanese companies have teamed up to form a consortium to launch yen-based digital currency

In a bid to launch a brand-new yen-based digital currency in 2022, about 70 Japanese companies have actually come together to form a consortium. The association which has a few of the nation’s most significant banks joining in, is sending out a strong signal that the private sector might have just begun embracing blockchain-based payment systems too.

70 Japanese Companies To Launch DCPJY

The CEO of crypto exchange DeCurret, Kazuhiro Tokia might have issued a declaration stating that the brand-new digital currency dubbed ‘‘ DCPJY,’ will be supported by bank deposits and would rely on a typical platform to help with large fund transfers and settlements in between the member companies.

DeCurret is leading the consortium, which includes banks like Mitsubishi UFJ Financial Group, Sumitomo Mitsui Financial Group, and Mizuho Financial Group. Other companies participating in the consortium include Kansai Electric Power Co Inc., Japan Post Bank Co Ltd., East Japan Railway Co, and Nippon Telegraph and Telephone Corp.

. On the other hand, Mizuho, Mitsubishi, Sumitomo, and Japan Post Bank are 4 out of the 5 biggest banks in Japan, in regards to overall deposits.

According to Reuters, the 70 Japanese business have actually been regularly holding meetings because 2020, to ponder on ways of creating a new settlement platform for digital payments.

BOJ’s CBDC Still On Schedule

In all of this however, the Bank of Japan BOJ is still quite focused on the advancement of a reserve bank digital currency (CBDC). As previously reported by Coingape, the CBDC pilot tests should be completed by March 2022. The BOJ aims to offer smooth payment channels in between electronic payment services and the so-called digital yuan. However even though the BOJ is at the leading edge of this effort by the public sector, the ultimate strategy is to incentivize private-sector acceptance of a CBDC.

Also to according to DeCurret adviser Toshihide Endo, the infrastructure being developed by the 70 Japanese companies consortium, remains in sync with the BOJ’s CBDC framework.

The post 70 Japanese Companies Form Consortium to Launch Yen-based Digital Currency appeared initially on Coingape.