Bank of Japan (BoJ) Governor Haruhiko Kuroda, said on Tuesday that the country’s central bank has no plans now to issue digital currencies. However, it is conducting research in case the need to do so heightens in the future.

Kuroda <a href="https://www.reuters.com/article/us-japan-economy-kuroda-fintech/boj-conducting-research-on-digital-currency-kuroda-idUSKBN1XT06Q">announced</a> the news on November 18, in an interview published by Reuters. Moreover, he added that stable coins should not be issued; unless there is a sufficient framework in place to ensure governance and risk management. He said to the Parliament:
<blockquote>"If stable coins backed by companies with a huge customer base are issued globally, that could have an impact on monetary policy and financial system stability." </blockquote>
Furthermore, the BoJ has previously raised financial stability concerns related to virtual currencies and stablecoins. Back in April 2018, the BoJ’s deputy governor Masayoshi Amamiya noted that issuing a cryptocurrency may have a “large impact” on the country’s “two-tiered currency system; and private banks’ financial intermediation.”

Most recently, Amamiya said Japan's central bank has no<a href="https://www.reuters.com/article/us-japan-boj-digital/bank-of-japans-amamiya-says-central-banks-cant-boost-minus-rate-effect-with-digital-currencies-idUSKCN1U009Y"> plans</a> to issue digital currencies at the moment. He claimed it is partly due to its impact on commercial banking:

 “If central bank digital currencies replace private deposits, that could erode commercial banks’ credit channels and have a negative impact on the economy,” Amamiya said at the time.

&nbsp;
<h2>European Bank Confirms Launching Digital Euro</h2>
Moreover, last week, the ‘Global Blockchain Congress’: Convergence was <a href="https://ec.europa.eu/digital-single-market/en/news/convergence-global-blockchain-congress">held</a> in Malaga, Spain. An  European <a href="https://www.cryptoknowmics.com/crypto/us-federal-reserve-could-issue-digital-currencies-in-the-future/">Central Bank</a> (ECB) official confirmed its plans on a digital Euro. The bank has explored it as both a retail and wholesale central bank digital currency (CBDC) He added it has experimented with blockchain. According to the bank’s Innovation team leader, Dirk Bullman, who spoke at the event last Tuesday:
<blockquote>“We have a dedicated team looking at this in the ECB. Even if we’re not particularly vocal on this compared to other central banks, we’ve been doing a lot in the past.”</blockquote>
&nbsp;

Bank of Japan Conducting Cryptocurrency Research: Governor

Bank of Japan (BoJ) Governor Haruhiko Kuroda, said on Tuesday that the country’s central bank has no plans now to issue digital currencies... %

My first love is music – then goes writing. I don’t write fiction, I analyze bulls and bears in markets. I call it my jungle, the digital jungle of crypto and chains.

Bank of Japan Conducting Cryptocurrency Research: Governor

Top Picks