A lot of nations are struggling with the acceptance of the crypto. And some of them taking years to stabilize in the crypto market. Take example of Japan, they started with denial to accept the crypto. Then their investors moved the market for years. And now finally banks and govt in japan is accepting the crypto and altcoins. 

Recently one of the bank in Japan, named Hokkoku bank managed to report the deposit backed stablecoin creation. So say you open a bank deposit it would be backed by the stablecoin and that would be usable across the banks. This is a new move in the world of crypto. 

Let's talk about how the Tochika stablecoin would work and how it would be a good direction for the crypto market.

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![]( https://img.inleo.io/DQmXP7mgcRuwHvCVsrTG6wk1xPcw5uKxqZFBUMGwNZPfHwy/leo.png)


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### What is Tochika Stablecoin?
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Once upon a time there was an app which was named as Tochituka app. This app allowed the users to earn points based on the local shopping they did. The accumulation of points also resulted into the transactions and this was a small local economy that was going on with tochipo points. You may relate this with the coin and point based economy in your side too. 

Hokkoku bank in Japan decided to work on this concept further and turned the points to the stablecoins. And now this would be another micro economy based on the deposit backed into the bank. Which also secures both the investor and the bank which kind of is a good idea for the economy to try something like this and collectively connect such stablecoins or tokens to nations or international token economy. You can read about it [here](https://prtimes.jp/main/html/rd/p/000000031.000059855.html).

### Japan's Move towards Cashless Payments
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Take an example of how some of the nations worldwide have worked towards the digital economy by demonetizing the cash. And this has slowly worked towards the concept of digital payments. Every nation has to do this sooner or later and that is one of the ways japan too has decided to jump ino this cashless economy. They are doing this through one bank at a time. Hopefully more banks would follow. 

Japan has yet to deccide on the stablecoin and the CBDC on the national level. Based on what we have noticed so far they are just being open towards the digital payaments and the blockchain. So the move like tochika coin would make the japan's consumers and the international investors to take more interest into the app based economy of tokens. You can read about this [here](https://digitalplatformer.co.jp/20240401001/). 

### App Payments and Bank based Stablecoins
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CBDC is largerly criticized in the purist community however the amount of tokens are created in every small use case kind of makes the crypto more fragmented and the amoount of people who want to get the benefit out of the cryptocurrency makes the life much harder to sustain for these tokens as they get discarded. This is where the nation and the govt has to think over the CBDC and release it to replace these small tokens. 

And the infrastructure should be developed for such reward based economies so that more and more such apps can use the CBDC instead of creating those fake tokens that technically add no value of it's own in the grand scheme of things. Let's see if the japan comes up with variety of those tokens and the tokenization platforms which are just clogging the market. 

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Tochika stablecoin has been released by the Hokkoku bank and the Digital platformer Co from the Tokyo. The stablecoin is backed by deposit in the bank, so there is an use case that is about to get created for the consumers. 

Posted Using [InLeo Alpha](https://inleo.io/@esmeesmith/tochika-stablecoin-backed-by-bank-deposits-in-japan)