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Japan has canceled its plans for a central bank digital currency (CBDC) as the public finds more benefits in using traditional money instead of digital currency, Asia Times has learned, citing the bank's statement.
According to the report, Japan's efforts for CBDC have not received enough support due to the prevalence of internet banking services, credit card usage and e-money payment tools. It's unclear if the Bank of Japan plans to resume CBDC tests in the future.
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Japan launched the first phase of experiments with central bank digital currency CBDC in August 2021. The financial regulator conducted experiments on the basic functions that "are core to CBDC as a payment instrument."
