Japanese firms will test a bank-backed cryptocurrency in 2022

Japan will take important steps towards the development of a digital currency. Per Reuters, a consortium consisted of around 70 Japanese companies said this week they planned to launch the Yen-based Cryptocurrency in 2022. What is famous for the project, while called “DCJPY,” is the three largest banks in the country will support it. At the press conference on Wednesday, Mitsubishi UFJ Financial Group, Mizuho Financial Group and Finance Group Sumitomo Mitsui said they had met since last year to build a shared completion infrastructure for digital payments.

Some other members of the consortium include the East Japanese railroad company and Kansai Electric electricity company. They plan to start testing currencies in the coming months. A separate experiment from the Bank of Japan’s work did to make a digital yen. CBDC is something China and the US is exploring too. For Japan, there are additional incentives for encouragement. This is a well-known country like cash. Even recently 2018, 80 percent of all retail transactions in the country were completed in notes and coins. It was something that had been done by the Japanese government to change as a way to make the country economy more consumer and productive.