"Reference News" published on the 11th a report from "Nihon Keizai Shimbun" about Japan's empirical experiment on digital currency next year . The summary of the report is as follows :
The Bank of Japan, the Central Bank of Japan, announced on the 9th that it will launch a digital currency empirical experiment in 2021 . The Bank of Japan stated that it currently has no plans to issue digital currencies , but is promoting the establishment of a mechanism that can respond to the progress of digitalization.
The experiment planned by the Bank of Japan will include testing the basic functions of currency such as issuance and circulation , testing whether digital currency can generate interest , setting the upper limit of the amount of digital currency held , and exploring how to involve private companies and consumers.
Compared with cash , the advantages of digital currency are reduced storage and transportation costs , increased transparency, and help prevent tax evasion , but there are still many problems in protecting user information.
In addition to the Bank of Japan , the European Central Bank is also discussing the launch of empirical research in 2021