Japan will have more clarity on its CBDC product digital Yen, by the end of next year. According to a lawmaker who is overseeing the ruling party’s digital currency plan, the CBDC development may potentially be the beginning of a turf war between traditional lenders and online platform operators.
Bank of Japan will be moving towards the second phase of its Central Bank Digital Currency (CBDC) experiment by late 2022. The first phase encouraged and enabled the rapid growth of private innovation by partnering with counterparts. The upcoming phase expects to reveal developments on the functioning and intermediaries of digital Yen, like deciding the organization that may serve as a mediator between the BOJ and deposit holders.
Hideki Murai, the ruling Liberal Democratic Party’s Head of digital currencies panel, told Reuters.
“By around the end of next year, we’ll have a clearer view of what Japan’s CBDC would look like,” Hideki.”
BOJ resist changes
However, BOJ’s against the motion stance is catching fire due to existing instability in Japan’s financial industry. With the online settlement offered by non-bank retailers and moving into commercial bank territory; BOJ is averse to any potential changes caused by the digital Yen.
Trending Stories
Moreover, BOJ must ensure that the digital Yen is compatible with the CBDC of other nations and not just Japan, for a successful outcome. Nevertheless, the government assured that there will not be any immediate or sudden CBDC changes; but discussions continue regarding the effects on the financial sphere after issuing CBDC.
“If the BOJ were to issue CBDC, it would have a huge impact on financial institutions and Japan’s settlement system…CBDC has the potential to completely reshape changes occurring in Japan’s financial industry.” Murai said.
- ETH Whales Add Polygon (MATIC) Amid Prices Surge Of 60% In Last 7 Days
- Uniswap ($UNI) Surges 45% As Trading Fees Surpass Ethereum
- Ethereum Merge Delay? Developers Concerned Over Shadow Fork
- MINA Price Jumps By 20% Over This Announcement
- Bitcoin Mining Data Suggests More Price Dumps Ahead; Details
- This Bitcoin Bear Market Is Unlike Any Other, Here’s Why
- Here’s Why Shiba Inu Ecosystem Tokens’ Prices Are Shooting Up
- Goldman Sachs Likely to Raise $2 Billion To Acquire Celsius Assets, But Here’s the Catch
- Here’s Why SEC Chair Wants Single Rulebook For All Crypto Trading
- Huge Cardano Breakout Imminent After This Resistance Level?
- Avalanche Price Analysis: Will The AVAX Breakout Rally Reach $30?
- Sandbox Price Analysis: U-shaped Recovery could Lead SAND above $1.5
- NEAR Price Analysis: Reversal Within Channel could Sink NEAR Below $3
- Solana Price Analysis: SOL Price Rallying North With Eyes On $59
- XRP Price Analysis: Trendline Reversal Could Dump XRP Back to $0.3
- AXS Price Analysis: Rising AXS Price Aims To Reclaim $17.6 Mark
- Polygon Price Analysis: Can Trendline Breakout Lead MATIC to $0.75?
- ArbiSmart Price Analysis: RBIS Retests Multi-month Support; Buy this Dip?
- Waves Price Analysis: Emerging Pattern Threatens to Break $4.16 Support
- Apecoin Price Analysis: Trendline Fakeout Could Tumble APE by 25%