The Bank of Japan Is Going To Launch CBDC Pilot In 2023
Launching CBDC is not regulators' dream anymore. They are working to make nightmares into reality. The Bank of Japan works on it and sets its plan to do the experiments. They will launch Central Bank Digital Currency (CBDC) pilot program in 2023.
It will be Japan's national digital currency, the digital yen. In order to launch the digital yen, the Bank of Japan has made a collaboration with three megabanks and regional banks. They will go through different experiments before issuing CBDC officially. If everything goes according to their plan and it works, they will officially launch the digital yen in 2026.
The Japanese central bank takes time to do experiments and based on the results, they will make the ultimate decision on whether to launch CBDC or not. Many countries' central banks are working hard to launch CBDC. China is ahead of the curve in this case. The Federal Reserve Bank of New York’s Innovation Center launches CBDC pilot programs.
The Reserve Bank of India is going to launch its retail CBDC pilot program in December 2022. People will store the e-rupee in a wallet and use it like cash. We will see more news of launching CBDC in the coming days.
There is a concern about whether people have to be online to make CBDC transactions or they can make CBDC transactions offline. The Japanese central bank will also test the offline functionality of the digital yen.
If cryptocurrency is a bubble, why is the central authority afraid of crypto? Their reactions and initiatives show how strong and secure cryptocurrency is and it will empower people that cannot be taken away from any central authority.
What does it feels like when you have money but you are not in control of it? Every single transaction can be easily monitored once CBDC launches. They can decide how much you can save, where to spend your money, or make your money disappear like magic.
It is too much power. Basically, whatever you do, you need to spend money or it is associated with financial transactions. If you cannot make any transactions, it would feel like you live in a different world. No one can censor Bitcoin transactions. You can decide what to do with Bitcoin.
People always strive and struggle to get freedom. Will the central authority implement CBDC successfully? Will people accept Central Bank Digital Currency? There are a lot of questions and we will get those answers in the future.
So what do you think? Please feel free to leave your comments. Thank you for reading this post. That's it for now. I'll be back with another post.
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I have heard a lot about this term and nowadays I know what mean CBDC.