The Bank of Japan announced on Friday that it had formed “Liaison and coordination committee”, which is to support his efforts to test the digital currency of the central bank (CBDC).
The Bank of Japan will start testing CBDC soon
Japanese central bank officials announced in March that preliminary CBDC tests in Japan would begin in spring. The task of the newly established committee is to act as a liaison between the central bank and the private sector.
IN leaves on March 26, the Bank of Japan presented the reasons for wanting to establish such a committee:
Although the Bank does not currently plan to issue a digital currency of the central bank (CBDC), from the point of view of ensuring the stability and efficiency of entire payment and settlement systems, the Bank will prepare thoroughly, including experimentally, to respond to [potencjalne] changes in the right way. The Bank believes that it is important to use the expertise of various stakeholders, such as the private sector, experts and relevant public authorities, when testing CBDC.
The members of the group that the central bank will establish will come from the private sector. It is about a number of banking, payment and fintech associations. Meetings of their representatives will and will be held virtually “Organized as needed depending on progress” wash. Details will be published shortly in consultation with team members.
The document also notes that the bank is preparing to carry out a CBDC pilot as early as October 2020.
The world is switching to CBDC
China is known to be the country that will most likely issue CBDC the fastest. It is worth adding, however, that the US Federal Reserve is also to prepare to disclose the details of its experiments on the digitization of the dollar to the public. The Fed said that if it ever sought to create a CBDC, private sector involvement would be crucial to the success of such a project.
Public consultations on CBDC were also conducted by the European Central Bank.
In China, selected citizens of the country will soon have access to digital yuan wallets. First, there will be clients of six banks: Agricultural Bank of China, Bank of China, Bank of Communications, China Construction Bank, Postal Savings Bank of China and The Industrial and Commercial Bank of China.