Overview
- Speaking at the GZERO Summit Japan on Oct. 21, Bank of Japan Deputy Governor Ryozo Himino urged regulators to adapt standards to new financial realities.
- He noted that roughly half of global financial assets now sit with non‑bank institutions that fall outside the Basel 3 framework.
- Himino said stablecoins could become a key payments rail and may partially replace bank deposits due to faster settlement, lower costs, and 24/7 transfers.
- He warned that common standards are needed to avoid market fragmentation and said U.S. banks, backed by dominant dollar deposits, could lead standard‑setting.
- In Japan, regulators have eased paths for stablecoin issuance, JPYC has FSA approval for a yen‑pegged token, and MUFG, SMBC, and Mizuho are reported to be planning a joint yen stablecoin and unified payments platform using MUFG’s Progmat with pilots expected as early as late 2025.