February 4, 2016
An interesting trend has been noticed among major financial institutions around the world recently. Aiming to cut down transaction costs, just today, MUFG was reported to be experimenting with distributed ledger technology to create its own digital currency – MUFG Coin.
Local newsletter Asahi Digital shared that MUFG started working with its own digital cash last fall and has almost finished building it. MUFG is looking to use MUFG Coin for international remittances via its smartphone app.
As reported by Asahi, most of the Japanese banks, including MUFG, are managing all financial transaction data within the bank through complex and bulky computer systems requiring significant investments. With MUFG Coin and experiments with distributed ledger technology, the bank is looking to build a tamper-resistant transaction record on blockchain. As the necessity to process transactions through complex computer systems will be eliminated, the hope is that it will significantly cut the operational costs and investment.
Sounds familiar, doesn’t it? At the end of last ye ...