Japan central bank will seek digital yen with ‘simple’ design, says BOJ official

-

Economy52 minutes ago (Oct 14, 2021 11:30PM ET)

(C) Reuters. FILE PHOTO: A Japan yen note is seen in this illustration photo taken June 1, 2017. REUTERS/Thomas White/Illustration/File Photo

TOKYO (Reuters) – Any digital currency the Bank of Japan issues should have a simple design that private firms can use to develop financial and payment services for customers, a senior central bank official said on Friday.

If central banks were to decide on issuing digital currencies, they need to co-exist with private-sector payment services, BOJ executive director Shinichi Uchida said.

“To achieve vertical coexistence, a relatively simple central bank digital currency (CBDC) design is desirable for the private sector to use it as an ingredient” to develop various services, he told a speech.

For example, private entities could develop services that allow customers to use both CBDC and private payment means with a single wallet, Uchida added.

Global central banks have stepped up efforts to develop their own digital currencies to modernise financial systems and speed up domestic and international payments.

The BOJ has said it currently has no plan to issue CBDC. But it launched the first phase of experiments on CBDC this year and has set up a regular panel to exchange views with the private sector, as part of efforts to ensure any digital currency it issues does not stifle private innovation.

Japan central bank will seek digital yen with ‘simple’ design, says BOJ official

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Share this article

Subscribe here

Recent posts