Cryptocurrency

Booming crypto-sector: Japan’s Bitcoin-friendly Central Bank has just created a Department of digital currencies

Japan’s Central Bank – the Bank of Japan (BoJ) has confirmed on Monday that it has created a new Department for the research and study of the issue of digital money. Colloquially we talk about “digital Yen”.

Only a few days ago Japanese parliamentarians had called for a greater involvement for digital assets and CBDC-research (Central Bank Digital Currency).

Japan’s digital currency gets a home

The local publication, Mainichi announced today Morning that the new digital currency group, the BoJ is working under the Department of payment and settlement systems of the Bank. Of the Department were assigned to ten team members. They are led by Akio Okuno, a senior official of the Department.

This group is the successor of the established research teams for digital currencies. At the time of writing there was no information about why the older Team was replaced.

The Bank of Japan in Tokyo. (Source: WSJ)

The new Department will, together with the European administrations and regulatory authorities are carrying out investigations to CBDCs and digital currencies. The European Central Bank and the Bank of England belong.

Last week, the Japanese Cabinet had adopted an annual economic policy Directive, according to which the Bank, in cooperation with other countries, a feasibility study of digital currencies will perform.

In the immediate future, however, is not the expected output. The Report:

“The BOJ has declared that it is planning its own digital currency, but has not excluded the possibility for the future.”

Japan’s booming crypto sector

Although it is the first government-sponsored development in relation to the development of digital Assets, has taken over Japan’s private sector, a vibrant, on cryptography-focused environment as well as introduced.

Three Japanese mega banks Mizuho Bank, MUFG Bank, and Sumitomo Mitsui Banking Corp – currently provide cryptographic services for a customer or carried out their independent studies on the Yen-based Stablecoin.

Last month Nomura, another conglomerate, headquartered in Tokyo, has introduced its Bitcoin safekeeping services for accredited investors in the country.

A Trading Desk from Nomura. (Source: Nikkei)

Others, such as the East Japan Railway co. and KDDI Corp. founded in June in a similar way, a consortium, in order to investigate interoperable electric money, and digital currency. At that time, the BoJ took part as “observers”.

The news about the digital Yen come at an ideal time. Last month, a Japanese Senator said that crypto-currencies like Bitcoin and the Blockchain will be in a world according to COVID-19-nor “important”, citing several reasons for his opinion.

About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.

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