IBM and the Japanese bank tested the virtual currency from July to September 2016 using an app that calculates how much each member of a dinner party owes for meals and drinks.
In the trial, 1 yen equalled one unit of the currency. Both parties have tested if one person could pay the whole bill using the currency, and if it is possible to create services that would, among other things, alert members to the amount they owe.
Virtual currencies have the potential to lower handling fees in bank transactions significantly, as users can make transactions directly with one another using their own computers or smartphones. But virtual currencies run the risk of being targeted by cybercriminals. Regulators including the Financial Services Agency are working to address privacy and other security concerns.
Therefore, despite the fact that the testing did not reveal any major problems, safeguarding user information remains a concern, according to Mizuho. The group will consider whether actual services can be created using the currency.
Not only Mizuho, but also Mitsubishi UFJ Financial Group is pursuing its own virtual currency, according to Asia Nikkei.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now