Bank of Japan deputy governor: central bank must better understand the pros and cons of issuing digital currencies and seek ways to reduce risk

According to Reuters, on February 27, the Bank of Japan's deputy governor, Yumiya Masaka, said that central banks must better understand the benefits and risks of issuing their own digital currencies, and find ways to reduce related risks. By issuing its own digital currency, the central bank can act as a bridge for private capital flows and streamline settlement procedures. Amemiya also said that Japan and many other developed economies have not encountered this problem, that is, the demand for the immediate issuance of CBDC. Unlike emerging economies, Japan cannot and should not immediately jump into the issuance of CBDC.