Bank of Japan Governor: Stablecoin May Have Impact on Financial Stability
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The Central Bank of Japan (BOJ), the Bank of Japan, is conducting research on the possible issuance of a central bank digital currency (CBDC), Reuters reports citing BOJ Governor Haruhiko Kuroda.

Kuroda states the bank currently has no plans to issue CBDC, but it is "conducting research in case the need to do so" in the foreseeable future.

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The Governor of the bank highlights that the idea to issue stablecoins should be restricted "unless there is a sufficient framework" to ensure governance and risk management.

"If stablecoins backed by companies with a huge customer base are issued globally, that could have an impact on monetary policy and financial system stability," Kuroda

Earlier iHodl reported that according to a study carried out by IBM and the Official Monetary and Financial Institutions Forum (OMFIF), the first central bank digital currency (CBDC) will be issued within the next 5 years.

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