Japanese Official Calls for Urgent Development of Digital Yen to Counter China

Another Japanese lawmaker has publicly called for the swift development of the digital yen.

The head of the banking and finance systems research commission at Japan’s Liberal Democratic Party, Kozo Yamamoto, said today that the country should create a digital yen in two to three years.

Reuters reported on Feb. 10 that Yamamoto said that plans for its central bank digital currency should be included in the government’s mid-year policy guidelines. He explained that digital currencies could quickly spread in emerging economies and help China who is working on a CBDC advance its digital hegemony.

Yamamoto admitted that, while the spread of CBDCs may undermine the dollar’s supremacy, it could also stabilize emerging markets relying on the dollar such as Cambodia.

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