Governor Haruhiko Kuroda said there was no reason to issue a central bank digital currency in the current climate.
Speaking about Facebook Libra specifically, Bank of Japan Deputy Governor Masayoshi Amamiya said it was important to bear in mind “the potential global user-base could be enormous.”
Facebook’s plans for Libra have been met with a further setback today, after the central bank of Japan called for “global cooperation” in regulating the stablecoin.
Bank of Japan, the country’s central bank, said Libra would be difficult to regulate, and ultimately posed risks to the global financial system.
While Bank of Japan has no plans for a CBDC at this time, the bank’s new report points out the additional functions crypto offers beyond traditional payments, as well as the wider implications of more efficient, direct blockchain transactions.