The biggest railway and subway operator in Japan, Japan Railways Group, which serves millions of Japanese people daily, is considering the integration of crypto assets like Bitcoin as a form of payment.
The news was reported ANN News, a mainstream commercial television news network in Japan run by TV Asahi Corporation. JR Group is planning to integrate cryptocurrencies by establishing a cryptocurrency company and a possible partnership with a major bank for an exchange.
The JR group has plans to integrate crypto into the Suica card – a national public transport card used by Japanese residents for various payments including subway transactions. If plans move forward, the Suica card has the potential to become the biggest stimulus in retail and mainstream cryptocurrency adoption to date.
It is likely that the company would like to create its own exchange or infrastructure to process payments, based on the report of ANN News and the reported plans the JR Group.
The JR Group will be able to general a new source of revenue, by creating its own company, in the form of transaction fees from cryptocurrency payments it processes.
The ambitious model of JR Group suggests that if the company integrates a crypto payment option, it expects the demand from users to be sufficiently high to justify the allocation of new resources into a new venture.
A possibility exists that the JR Group might integrate bank-created cryptocurrencies. Mizuho, a leading financial institution in Japan, is currently in the process of developing a cryptocurrency.
Japan, because of the forward-thinking and open-minded approach of Japanese regulators towards cryptocurrency and blockchain technology, is the ideal market for a transport conglomerate to integrate cryptocurrencies due to the large mainstream awareness of crypto.