Japan's Ruling Party Pushes Stablecoins and Tokenized Deposits Into National Financial Infrastructure

According to NADA News, Japan's ruling Liberal Democratic Party announced on May 19 policy recommendations to promote stablecoins and tokenized deposits as national financial infrastructure. The recommendations, approved by the party's Policy Research Council, are expected to be reflected in the government's economic policy framework set to be decided in June 2026.

The party's next-generation AI and on-chain finance project team designated on-chain finance, including stablecoins and tokenized deposits, as a next-generation national financial infrastructure. The proposals include establishing a five-year roadmap led by the Financial Services Agency, accelerating adoption of bank-issued stablecoins, and securing international interoperability for cross-border payments.