- Japan central bank calls for international cooperation to deal with stablecoins such as Libra.
- The US dollar takes up half of the basket backing Libra alongside the euro, the GPB, the yen, and the Singapore dollar.
Japan as the earliest contender for cryptocurrencies continues to study the impact of new technologies on the economy. The Bank of Japan (BOJ) Governor Kuroda in an earlier comment said that the central bank was going to “keep a careful watch” on Libra. Besides, he feels that Facebook’s Libra is going to be “piggybacking for free on a financial system that takes heavy costs.”
In the latest development regarding Libra, Kuroda says “if stablecoins like Libra is introduced, it will have huge impact on society so highest level of regulation is necessary.”
He also urged cooperation internationally because coordination is required for when dealing with stablecoins such as Libra.
Libra recently revealed the fiat currencies that will form the basket of assets backing Libra. The US dollar takes up 50% of the basket while the remaining half is shared among the GPB, the euro, the yen, and the Singapore dollar.
Read more: Facebook’s Libra percentile breakdown of the global currency basket revealed
Share
