Japanese government did not approve the idea of creating a BTC reserve

Earlier, a similar initiative was taken in the House of Councillors

26.12.2024 - 13:15

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What’s new? The Japanese government has said that bitcoin can not be included in the state reserves. To study the possibility of using cryptocurrency to diversify reserves following the example of the United States, earlier called, a member of the House of Councillors Satoshi Hamada.

Material by CoinPost

What else is known? In his response, Japanese Prime Minister Shigeru Ishiba emphasized that it is “difficult for the government to state its views” on the specifics of other countries’ moves to introduce bitcoin reserves, as these initiatives are still under discussion.

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Responding to Hamada, the Prime Minister also noted the existence of legislative obstacles. For example, crypto assets are not recognized as foreign currency under local laws, which prevents bitcoin from being included in foreign exchange reserves.

Ishiba also prioritized security and liquidity as priority features of foreign exchange reserves, and the high volatility of crypto assets, including bitcoin, is inconsistent with the current system.

The Prime Minister’s official response confirmed that the Japanese government maintains a cautious stance. Earlier, the possibility of creating bitcoin reserves in the near term was rejected in South Korea and Russia.

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In addition, US Federal Reserve Chairman Jerome Powell recently said that the central bank cannot hold bitcoin on its books. Nevertheless, the new US President Donald Trump is working with his administration to create a strategic BTC reserve.

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