Ministry of Finance releases minutes of expert meeting on CBDC (Central Bank Digital Currency) | CoinDesk JAPAN

The Ministry of Finance has released the “8th Meeting of Experts on CBDC (Central Bank Digital Currency) Minutes” held on December 13th. NHK reported that a liaison meeting will be held next month with the participation of the Bank of Japan and related ministries to begin discussions on legal issues and other issues.

The main contents of the minutes are as follows.

• CBDC is expected to become a convenient tool for everyday small-value payments. Although no decision has been made regarding the introduction of CBDC, we hope that it will be implemented in a way that will be useful for people’s lives.
• It is important that the “Summary” incorporates the idea of ​​”privacy by design.” Going forward, consideration will be needed from a governance perspective in order to materialize this. Furthermore, fulfilling specific accountability for the handling of personal information will help foster trust.
• We hope that CBDC will become an infrastructure that complements and promotes payment functions provided by the private sector, but without getting too forward-looking, we will continue to consider ways to flexibly respond to changes in the situation. I should go.
• With cash, possession and possession are the same, but since CBDC is an intangible object, it will give us an opportunity to reconsider what money is, what digital assets are, and what payments are.
• Since changes in technology and the environment in the future cannot be predicted, we ask that you consider a wide range of options and be flexible in your future considerations. The idea of ​​taking advantage of the unique advantages of digital technology is also important.
• Although the introduction of CBDC has not been decided yet, it will potentially have a large impact if it is introduced. This could have a considerable impact on private business, and it may also be necessary to make major legal changes to the monetary system. If a CBDC were introduced overseas, ensuring interoperability could become a new issue. It is important to think carefully about these matters before deciding to introduce a CBDC.

While the country is ramping up discussions on CBDC, stablecoins issued by private businesses are expected to appear in Japan by mid-2024.

｜Text: CoinDesk JAPAN Editorial Department
｜Photo: Shutterstock