Earlier this fall, the Bank of Japan announced its plans to brainstorm testing a key depository financial institution digital currency proof-of-concept in 2021. Farther details of the establishment'south arroyo to evolution and collaborations accept since emerged, with indications that the private sector is poised to play a prime role, at least in the testing phase.

Earlier today, Reuters reported that the CEO of the Japanese financial services giant Monex Inc. is welcoming the central bank's more proactive stance toward central bank digital currencies, or CBDCs.

CEO Oki Matsumoto argued that any move to introduce a CBDC would be positive for the digitalization of the Japanese economy, making it more efficient. Moreover, Matsumoto saw an advantage for the non-bank digital currency sector every bit well:

"CBDCs volition significantly enhance the interoperability of cryptocurrencies. Information technology would brand the cryptocurrency market more lively."

For Matsumoto, the fact that many smaller crypto exchange brokers do non accept depository financial institution accounts presents a limit and hindrance to traders looking to convert their crypto avails into fiat money. With a CBDC in Japan, he argued, there would exist the potential to back up smoother conversion between crypto and legal tenders within a "digital-friendly" platform.

Monex Inc. notably bought the Japanese crypto exchange Coincheck back in spring 2018, shortly after the platform had been hacked. Over $500 million in stolen cryptocurrency was reported as lost.

Monex has remained active in the digital asset space, concluding year applying to bring together the Libra Clan, the governance consortium for Facebook's planned global stablecoin.