This week, Bloomberg reported that Nippon Yusen K.K (NYK) a Japanese shipping company was planning to launch its digital currency. The currency will be used to aid its crew members and workers.
Having been established in 1885, Nippon Yusen is the largest shipping line in Japan when it comes to sales. Available data indicate that the company managed to raise a revenue of $8.1 billion (915.6 billion yen) in the third quarter of 2018.
The Digital Currency Will Launch By The First Quarter Of 2019
People that are familiar with the matter told Bloomberg that the company would be introducing its virtual currency for crew members.
The goal is to simplify the process of “Managing”, sending and converting money into the workers’ local currencies. The coin will be tied to the USD to avoid any severe swings in value associated with virtual currencies.
However, according to the news outlet, it’s not clear whether the company’s digital currency will use the blockchain technology or a form of cryptocurrency.
The undisclosed source adds that the shipping giant has been working with banks and software development companies to ensure the digital currency can be converted into local currencies.
So far the company has successfully conducted tests using shipboard telecommunications, and it’s reportedly seeking a patent for the technology.
According to the source, the currency will be accessible using smartphones. Adding that company plans to introduce the virtual currency in the first half of 2019. On top of paying their workers, the company is also looking to offer the token to other shipping operators.
The shipping industry stands to gain a lot from the blockchain technology. For this reason, the industry is fast embracing the technology.
At the start of this month, nine major terminal operators and shipping firms signed a Memorandum of Understanding (MoU) that will see them launch an open digital platform that will be based on the DLT.
The new platform will “allow shippers to digitize and organize their dangerous goods documents and automatically connect with relevant parties to streamline the approval process.”