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  • Three Japanese banks plan to set up a study group to explore the benefits of digital payment infrastructure.
  • The banks involved are Mitsubishi UFJ Financial Group Inc, Mizuho Financial Group Inc and Sumitomo Mitsui Financial Group Inc. 
  • DeCurret crypto exchange will organize the group and the meetings, which will take place twice every month.

Three major Japanese banks are planning to set up a study group to explore the benefits of developing a common settlement infrastructure for digital payments. According to a New York Times report, the three banks involved are Mitsubishi UFJ Financial Group Inc, Mizuho Financial Group Inc, and Sumitomo Mitsui Financial Group Inc. 

Other non-financial companies like East Japan Railway are also planning to participate. A local crypto exchange, DeCurret, will organize the group and the meetings, scheduled to take place twice every month. DeCurret officials said that representatives from the Bank of Japan, the Ministry of Finance and the Financial Services Agency would be attending the meetings as observers.

Japanese people are among the most cash-using population in the world, according to the report. Authorities in the country have been trying to mitigate this trend and promote cashless transactions, especially after the COVID-19 outbreak. 

Japan does have several digital payment systems but citizens are refusing to use them fully. Hiromi Yamaoka, a former central bank executive, said that the group will search for solutions “to enhance the inter-operability of digital currencies and infrastructure.”