The #BankofJapan announced on Monday that the 1st of its central bank #digital #currency ( #CBDC) trials.
The Bank of Japan announced on Monday that the central bank digital currency ( #CBDC) trial has started phase 1.
↪️The first phase of the trials will focus on testing the core functions of CBDC as a means of payment, such as regulation, distribution, and payment. Stage 1 will be run by March 2022.
The Bank of Japan will then move on to phase 2 to test the more detailed functions of the CBDC, as it announced last October. If deemed necessary, the central bank will move to phase 3, where private businesses and end users will participate in a pilot program.
Shinichi Uchida, the governor of the central bank, said last month that the #BankofJapan has no plans to issue a CBDC at this time, but they want to be prepared in case the need arises in the future. Uchida used the following statements:
“We believe starting an experiment at this stage is a necessary step. Given the current factors, including technological developments at home and abroad, there is a reasonable possibility for CBDC to provide a payment and solution tool and for such systems to become global standards. ”
Central banks around the world focus on developing digital currencies. Currently, #China is leading the pack as it is closer as the country closest to launch the digital yuan after more than six years of research and development.