Japanese PM Sanae Takaichi said she had no knowledge of the token, as Kyodo reported the FSA was considering whether unregistered operators were involved. A cryptocurrency using the name of Japanese Prime Minister Sanae Takaichi briefly surged to a market value of about $27.7 million before sliding sharply after Takaichi publicly denied any connection to the token. In a statement posted on X, Takaichi said she had no knowledge of the “Sanae Token,” adding that neither she nor her office had granted any approval related to it. She said the clarification was issued to prevent public misunderstanding. “Due to the name, it seems there are various misunderstandings, but regarding this token, I have absolutely no knowledge of it, nor has my office been informed about what this token entails,” she wrote. Read more
BOJ Governor Kazuo Ueda said the experiments will examine links between blockchain systems and Japan’s existing settlement infrastructure. The Bank of Japan will conduct technical experiments using blockchain technology to settle deposits held at the central bank by financial institutions, according to BOJ Governor Kazuo Ueda. In a speech posted Tuesday titled “The New Financial Ecosystem and the Role of Central Banks,” Ueda said a sandbox project is underway to test settlement using central bank money “in the form of current account deposits on a system that uses blockchains.” The experiments will explore “methods of connection with the existing system” and examine use cases, including “domestic interbank settlement and securities settlement.” Read more
Japan’s regulators and conglomerates are working to bring one of the world’s key funding currencies into DeFi, but retail activity remains muted. Japan is preparing its financial system for a world of stablecoins and tokenized assets, with banks, regulators and financial conglomerates working to bring the yen economy onchain. The country is the world’s fourth-largest economy, and its yen is one of the most important currencies in global finance. According to the International Monetary Fund, the yen accounted for 5.82% of global foreign exchange reserves, ranking third worldwide. A major reason for the yen’s systemic importance is the carry trade. Due to low interest rates, investors borrow cheap yen, convert it into other currencies and invest in higher-yield assets, making the yen one of the most trusted funding currencies for global markets. Read more
Japan’s financial regulator is weighing rule changes that could allow crypto assets to qualify for ETFs, signaling a possible shift in retail access. Japan’s financial regulator is weighing potential rule changes that could pave the way for cryptocurrency exchange-traded funds (ETFs), with local media reporting that 2028 is being discussed as an early target. According to a report by Nikkei, citing people familiar with the matter, Japan’s Financial Services Agency plans to amend its regulatory framework to allow crypto to be included as eligible ETF assets alongside stronger investor-protection mechanisms. Major financial groups, including Nomura Holdings and SBI Holdings, are among the first companies expected to develop crypto-linked ETF products, Nikkei reported. Read more
Japan’s finance minister signaled that crypto’s future lies inside regulated exchanges as Japan advances tax, disclosure and market reforms. Japan appears to be moving to bring cryptocurrencies deeper into its traditional market rulebook, signaling that regulators want digital assets handled through established exchanges and securities-style oversight rather than a parallel system. The direction was underscored on Monday by Finance Minister and Financial Services Minister Satsuki Katayama, who publicly backed traditional securities exchanges and market infrastructure as the primary gateway for blockchain-based assets. Speaking at the Tokyo Stock Exchange’s New Year opening ceremony, Katayama framed 2026 as Japan’s first year of full-scale digitalization. Her remarks echoed a broader regulatory shift that has been steadily aligning crypto with traditional capital markets. Read more
Bitcoin headed higher despite the Bank of Japan's interest-rate hike while reactions saw bullish risk-asset signals and no further policy tightening. Bitcoin (BTC) aimed for $88,000 on Friday after Japan’s central bank raised interest rates to 30-year highs. Key points: Bitcoin joins US stocks futures heading higher in a curiously bullish reaction to Japan’s interest-rate hike. Read more
The Bank of Japan is expected to increase its benchmark interest rates on Friday, a historically bearish signal for riskier assets like Bitcoin. Bitcoin (BTC) could face a continued correction toward the $70,000 level if the Bank of Japan (BoJ) proceeds with an expected interest-rate hike on Dec. 19, according to multiple macro-focused analysts. Key takeaways: BoJ tightening could pressure Bitcoin by draining global liquidity. Read more
Japan plans to move crypto regulation from payments law to securities rules, tightening disclosures for IEOs and cracking down on unregistered platforms. Japan’s financial regulators are preparing to move crypto asset oversight out of the country’s payments regime and into a framework designed for investment and securities markets. The Financial Services Agency (FSA) on Wednesday released a comprehensive report from the Financial System Council’s Working Group on the regulatory status of cryptocurrencies across multiple sectors. The document outlines a plan to shift the legal basis for crypto regulation from the Payment Services Act (PSA) to the Financial Instruments and Exchange Act (FIEA), which is the primary law regulating securities markets, issuance, trading and disclosures. Read more
Japan’s FSA is set to mandate liability reserves for crypto exchanges to boost consumer protection. The new rules are set to change the market. Japan is in the process of introducing significant changes to cryptocurrency regulation following renewed attention to Mt. Gox-related repayment activity in 2024. The Financial Services Agency (FSA) plans to introduce new rules requiring cryptocurrency exchanges to maintain special “liability reserves” to protect customers if their assets are lost due to hacks or unauthorized transfers. The measures aim to bring the cryptocurrency sector closer to the strict standards applied to traditional financial institutions in Japan, one of the world’s most heavily regulated markets. Read more