A digital yen will ‚bring more life‘ to the crypto market, says Monex CEO

Oki Matsumoto, head of the Japanese financial services company Monex, welcomed the Bank of Japan’s recent interest in creating a CBDC.

Earlier this fall, the Bank of Japan announced its plans to begin testing a CBDC proof of concept in 2021. Since then, more details of the institution’s approach to development and partnerships have emerged, with indications that the private sector is ready to play a major role, at least in the testing phase.

Earlier today, Reuters reported that the CEO of financial services company Monex Inc. welcomed the central bank’s more proactive stance towards the central bank’s digital currencies, or CBDC.

CEO Oki Matsumoto argued that any move to introduce a CBDC would be positive for the digitization of the Japanese economy, making it more efficient. In addition, Matsumoto also saw an advantage for the non-bank digital currency sector:

„CBDCs will significantly improve the interoperability of crypto-currencies. It would bring more life to the crypt coin market.

For Matsumoto, the fact that many smaller cryptoexchange brokers do not have bank accounts presents a limit and obstacle for traders looking to turn their crypto assets into fiat money. With a CBDC in Japan, he argued, there would be the possibility of supporting a smoother conversion between legal and crypto tenders within a „digital-friendly“ platform.

Monex Inc. purchased the Japanese Coincheck crypto currency exchange in the spring of 2018, shortly after the platform was hacked. It was reported that more than $500 million in stolen crypto coins were lost.

Monex has been active in the digital asset space, last year applying to join the Libra Association, Facebook’s planned global stable currency governance consortium.