Cryptocurrencies

    Japan aims to settle CBDC legal issues by third quarter 2024

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    Japan is actively addressing the legal complexities related to the issuance of a Central Bank Digital Currency (CBDC), with plans to resolve these issues by spring 2024.

    However, no official launch date for the digital yen has been confirmed.

    The Bank of Japan (BoJ) and the government have stated that they won't proceed with the digital currency until a national consensus is reached, which is expected no earlier than 2026.

    In December 2023, a Ministry of Finance panel recommended the swift issuance of a digital yen, emphasising the importance of running it alongside physical cash and minimising the storage of personal data by the BoJ.

    These developments reflect Japan's careful but determined approach to digital currency adoption.

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