Japan Takes the First Step in Saying Goodbye to Fiat Currency

Ever since the beginning of the crypto boom, people have heard about the how cryptocurrencies are far more superior than fiat currency. Examples of those advantages include no intermediaries, low transaction fees and access for everyone. The question nowadays, is when, will this happen? People want to see results rather than hear promises that may or may not come to fruition. Well, Japan is the first nation to show promise in moving this technological advancement further.

In this year alone, Japan has taken strides in the crypto industry by pushing the envelope. This was apparent when Japan launched its first bank-backed crypto exchange earlier this year. The news came as a surprise to those who believed that crypto exchanges and banks cannot coexist.

Recently, Japan made headlines with another development to the crypto space. The world’s largest financial group, Mitsubishi UFJ Financial Group (MUFG), has been experimenting with its own cryptocurrency called MUFG coin at a convenience store for employees. This week, a Japan-based daily newspaper visited the convenience store and reported that the experiment was “quietly advancing”.

A cash register was set up for payments using the MUFG coin at the convenience store and, at the checkout, payment is made by a QR code using smartphones. This experiment has been useful in understanding any issues that users and stores may face when using cryptocurrency. MUFG coin is pegged to the yen on a 1:1 ratio. Mitsubishi UFJ Financial Group stated that fiat money in all forms takes a “significant toll in terms of cost and time required for the procurement, storage and transport of these instruments is often overlooked.”

Progress in the technological space has been moving at a rapid pace. Most individuals and companies have accepted that the power of blockchain, such as the innovative Gallactic Blockchain, too great to be ignored, but unless the first steps are taken to ensure blockchain is utilised, change will not take place. Now is the time for change, for theories to be turned into reality.

Japan Takes the First Step in Saying Goodbye to Fiat Currency was originally published in Hacker Noon on Medium, where people are continuing the conversation by highlighting and responding to this story.