Mizuho Bank, a unit of Japan’s Mizuho Financial Group, has announced plans to roll out its own digital currency next month.
The initiative will be carried out in alliance with around 60 other financial institutions.
Called J-Coin Pay, the new offering will facilitate payments, remittances and other financial transactions on smartphones.
The currency value will be fixed at one yen per unit.
In order to make a payment, consumers will have to scan a QR code with a smartphone.
Through their smartphones, users can make fund transfers between their J-Coin Pay accounts and financial institutions’ deposit accounts.
Users will also not be charged any fees for the money transfer, which will be available round-the-clock.
The service can be availed by both iOS as well as Android users.
Mizuho has also unveiled future plans for the new digital currency.
These include tie-ups with Alipay and UnionPay to benefit non-Japanese customers.
Besides, plans are on for supporting transfers between corporate clients and individual customers. These include expense accounting and salary payment.
“We will expand our bank digital currency platform to provide a wide range of financial services,” Mizuho said in a statement.
The new initiative aligns with the Japanese government’s plan of doubling the ratio of consumers adopting cashless payments to 40% by 2025.