en

Japan plans to explore digital currencies to compete with China

Nikolay Belyavskij
January 27, 2020 12:00 AM
1 769 Views
Japan plans to explore digital currencies to compete with China

About 70 representatives of the Liberal Democratic Party of Japan are preparing for consideration a project to create a digital yen, reports Reuters. This is a response to Facebook’s Libra and China’s efforts to create a digital renminbi.

China is moving toward issuing digital yuan, so we’d like to propose measures to counter such attempts 

The official admits that the digital currency project can be created thanks to the joint efforts of the state and private companies. According to Nohiro Nakayama, the working group will formally present the project to the government next month.

At the same time, the Central Bank of Japan, together with five other banks, began researching its own digital currency (CBDC). Prime Minister Shinzo Abe said the government is ready to provide the bank with the necessary support.

Recently, Japanese Finance Minister Taro Aso expressed his concern if the digital yuan will be used for international payments. According to the minister, this could be a serious problem for Japan, which uses the American dollar for this purpose.