TLDR Tech / Crypto
Japan Proposes Five-Year Onchain Finance Roadmap
Japan's LDP, through a digital policy working group chaired by lawmaker Seiji Kihara, has formally proposed that the FSA build a five-year onchain finance roadmap and designate the sector as Japan's 18th growth investment field, citing concern that foreign payment systems threaten yen sovereignty. The proposal targets stablecoin use in payroll, tax payments, corporate funding, and cross-border yen transfers, while the Bank of Japan studies tokenized current account deposits and a wholesale CBDC. The plan extends a November 2025 FSA-approved pilot in which MUFG, SMBC, and Mizuho began testing stablecoin issuance, and also calls for coordinated Asian standards covering tokenized assets, KYC, AML, and counter-terrorist financing. Any Japanese yen stablecoins reaching the market in 2026 will be bank-issued and institutionally backed, structured closer to tokenized deposits than crypto-native tokens.
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