Japanese Companies Set to Launch Digital Currency for Clean Energy Transactions.

12 Oct, 2023

Japanese Companies Set to Launch Digital Currency for Clean Energy Transactions.

A consortium of Japanese companies is set to introduce a digital currency, named "DCJPY," by July 2024, primarily designed for the transaction and settlement of clean energy certificates, as announced by cryptocurrency exchange DeCurret on Thursday.

GMO Aozora Net Bank is the entity responsible for issuing the yen-denominated digital currency, "DCJPY." This digital currency will then be employed by the telecommunications company, Internet Initiative Japan (IIJ), for the settlement of clean energy certificates, according to DeCurret. Notably, transactions involving DCJPY will be executed using a network established by DeCurret, which, unlike stablecoins, is supported by bank deposits through blockchain technology.

This launch places Japan on par with other countries that have witnessed a surge in digital currencies underpinned by bank deposits and blockchain technology. Such an initiative could potentially have implications for the central bank's plans to issue its own digital yen.

DeCurret has played a pivotal role in spearheading the launch of this digital currency, facilitating discussions within a consortium of Japanese firms eager to leverage this cutting-edge technology.

This consortium includes major financial institutions such as Mitsubishi UFJ Financial Group Inc, Mizuho Financial Group Inc, and Sumitomo Mitsui Financial Group Inc. They have been convening regularly to explore avenues for establishing a shared settlement infrastructure for digital payments.