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The Japanese crypto exchange is conducting a national study on digital payments

June 4, 2020

The exchange of digital assets DeCurret leads Japan’s three megabanks in a new study group to study the development of a national digital settlement infrastructure..

Decurret was subpoenaed under the supervision of the country’s central bank and financial guardian – the Financial Services Agency (FSA) – and said on June 3 that The group would try to define a “direction for realizing valuable digital currencies in Japan”..

The group is headed by the Bank of Japan’s former head of payment and processing systems, Hiromi Yamaoka.

The Japanese crypto exchange is conducting a national study on digital paymentsThe Japanese crypto exchange is conducting a national study on digital payments

Participants include large banks in Japan -MUFG Bank, Mizuho Bank and Sumitomo Mitsui Banking Corporation- as well as East Japan Railways and other non-financial companies.

Consensus on the future of digital payments in Japan

As a background for the project, Decurret points out the growing expectations on the efficiency and potential of digital currency billing and the interest of companies and some international central banks in distributed general ledger technologies.

However, The exchange identifies concerns about privacy, crime prevention, and technology risks that still require specific solutions. Therefore the basic goals of the group will be:

“Discuss the challenges and solutions related to digital currencies and settlement infrastructure to find consensus on how to implement them, and provide a direction for standardizing services and infrastructure.”

The group is scheduled to meet once or twice a month between June and September 2020 and report on its results at the end of the period.

His research program includes case studies of existing digital statements and digital currencies in Japan and well as analysis of current and future blockchain applications in settlement and transaction infrastructures.

Together with the FSA and the central bank The group’s activities are monitored by the Ministry of Internal Affairs and Communications, the Ministry of Finance and the Japanese Ministry of Economy, Trade and Industry.

Details of the group’s early plans have already been released

The Nikkei Asian Review also reported this The three mega banks participating in the Decurret study group are trying to link their digital currencies to the Japanese railway company’s Suica Transit smart card Oriental as part of Decurret’s Digital Payment Initiative. To date, 80 million Suica have been issued, but cannot currently be linked to bank accounts.

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