A senior Bank of Japan (BoJ) official has stated that bitcoin and other Fintech innovation isn’t a threat to the fiat money central banks print.
According to Hiromi Yamaoka, head of the BoJ’s payment and settlement systems department, central banks need to maintain the public’s trust. This is because the growth of FinTech provides people with a substitute to cash, reports Reuters.
This year, Hiroshi Nakaso, the deputy governor of the BoJ, stated that central banks would have to watch the progress and developments relating to bitcoin and blockchain.
In a speech, he stated that the financial market’s infrastructure is going through a period of innovation which is producing changes in the payments and settlement systems.
Speaking to Reuters, Hiromi Yamaoka said that the growth of bitcoin was one of the topics being studied by the bank.
Fintech is an area with potential to revitalise Japan’s economy. That’s why policymakers want to work hand in hand with the private-sector.
In a country such as Japan, which has a solid financial institution where the public has trust in the financial sector, it’s