First thought? What's the point regarding the decentralized world? Of, Bitcoin and Co.? Hmm...
It is not decentralized. It's just another currency, but now digital. Only for their (government) easy of use and track.
Here we go with the governments feeling the need to enter in crypto world. And not with a tiny move, but with a big one and at a simple thought, to have also all the control in the new crypto world. To not let the people go with their choices.
Yes it is a good thing for Japan full acceptance of bitcoin and exchanges. And for sure that may simplify some of the current problems regarding time and money lost for transactions.
But let's see what's about.
The project involve a consortium of banks with the support of Japan Post Bank. They say, the plan is to release it until the Tokyo Olympics from 2020.
Although, it is still a project in its early stage without having approvals from regulators.
What they want to achieve with that? To create a digital currency that will replace all cash payments. And through that to streamline financial system.
After China big bans of exchanges and ICO's, Japan become the largest market for Bitcoin exchanges with big percent of the global market.
quote:
"This will be pegged with Japanese Yen, and hopefully used to make payments and transfers through a mobile phone app," the bank said.
source: Japanese banks exploring own cryptocurrency called the J-Coin
Having cash payments at more than 70% of all current transactions, it incurs big costs for handle it by governments and banks. And through that they hope to get rid of high costs, losing taxes to undocumented cash money and black market transactions.
The UK Business Insider presents other economies that are moving to digital payment methods: Several European economies are moving towards a cashless society thanks to...
Last thoughts:
It is not doable for now in my opinion, because everybody will need to have a device, a phone, to use it for that. And for now there are not all the people familiar with that technology and some will not be able to learn it.
Old people or just the ones who doesn't know how to use them, you can't oblige to use things that they don't understand. Plus, the risk that they are exposed if they don't know how to use them. Who will help them to do that?
Combining them yes, it is possible.
But again, how good is that to decentralized thing?
Let's say this system is implemented and the people pay in some way with that account with the new crypto coin issued by that state. That means, people gived again complete control to the banks or what entities will govern that.
So, what's the point for what crypto currency is made now?
They (governments) will again have the power to do what they want with your accounts and money in any form at that point, even lock them and take away your access without any reason... (see Cyprus and Greece examples at the end of post)
But, how all things goes digital today, lets hope that Bitcoin & Co. will be here too, without governments and their implications going in its place and being accepted everywhere.
Other sources:
Japan Considers Launching J-Coin, Eliminating Cash Before Tokyo 2020 Games
Japanese banks exploring own cryptocurrency called the J-Coin
Banks blocking accounts, Greek and Cyprus examples:
Till next time,
Cheers and good steemit time!
(if you read it on steemit, if not go check out my posts there, links below)
my other crypto news:
Bitcoin news - SEC Cyber Unit - China Ban - Japan's Surveillance / September 26, 2017 — Steemit
Amazon will accept bitcoin in october 2017? - I think not yet! — Steemit
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