The government of Japan officially responded to Senator Hamadeh, saying that it does not intend to adopt Bitcoin as part of its foreign exchange reserves due to lack of understanding and concerns about volatility.

like I mentioned Through a Japanese media outlet, on December 20, the Japanese government issued its official statement answer For several inquiries, Senator Satoshi Hamada Subtract Regarding the adoption of Bitcoin (Bitcoin) as part of Japan's foreign exchange reserves. Under the name of Prime Minister Ishiba Shigeru, the statement made it clear that at the moment, Japan has no intention of looking into cryptocurrency reserves.

Senator Hamada, a member of the People's Protection Party from NHK, put forward a proposal for Japan to follow Japan's example. US And other countries are exploring BTC reserves. The government responded that it does not have enough knowledge about global movements in this regard, and said that discussions about adopting cryptocurrencies for reserves are still in very preliminary stages. That is, the government said that it would be “difficult to express a view” on this matter at this stage.

The response also stated that under Japan's legal system for managing private accounts, cryptocurrencies such as Bitcoin do not fall under the foreign exchange asset class. Moreover, A "Cryptoassets" It is not considered a “security” under the Financial Instruments and Exchange Act Japanese law.

The Payment Services Act sets out the definition of “cryptoassets” and requires any Crypto Asset Exchange Service (CAES) provider to register with the Financial Services Agency. Operating CAES without registration carries criminal penalties, says Anderson Mori & Tomotsune, a full-service law firm in Japan.

Existing foreign exchange reserves are intended to stabilize foreign currency-denominated assets and bond markets, and the Japanese government has stressed that the volatility of crypto assets wants to prioritize safety and liquidity.

Besides, Japan Investment Bank CEO Akihiko Ogino said Suggested That Japan should introduce cryptocurrency exchanges. Although Daiwa Securities, which manages the Nikkei 225 ETF, has not revealed any plans for a cryptocurrency-backed ETF yet, Japan's current outlook on crypto assets may delay Daiwa Securities ETF's plans.