The Japanese government officially responded to the Bitcoin reserve plan: the volatility of crypto assets is not in line with the current foreign exchange reserve system

The Japanese government recently issued an official response to a question from Senate member Satoshi Hamada about the latest developments in the U.S. and other countries' push for Bitcoin reserves. The written response, issued in the name of Prime Minister Shigeru Ishiba, clarified the government's position on the possibility of holding crypto assets as reserves. On the 11th of this month, Senator Satoshi Hamada said, "I think Japan should follow the U.S. and consider investing some of its foreign exchange reserves in crypto assets such as Bitcoin," and asked the government for its opinion on this. The reply pointed out that Japan is not aware of the trends of the United States and other countries on launching Bitcoin reserves at this stage because these plans are still in the discussion stage, and "it is difficult for the government to express its views." In addition, according to the legal framework for special account operations, "crypto assets do not fall into the category of foreign exchange, etc.", and the current foreign exchange reserves are intended to stabilize foreign currency assets and foreign currency bond markets. The reply repeatedly emphasized that special account management puts ensuring the safety and liquidity of foreign exchange reserves first. This shows that the government recognizes that the volatility (price fluctuations) of crypto assets, including Bitcoin, is inconsistent with the current system. Prime Minister Ishiba's official response once again shows that the Japanese government remains cautious as discussions at home and abroad on incorporating crypto assets into the national reserve strategy progress. (Coinpost)