Fumio Kishida, Prime Minister of Japan, has come out in support of blockchain technology as a possible solution to the technological problems facing the country.
In response to a question by Liberal Democratic Party member Masaaki Taira before the Japan House of Representatives Budget Committee on February 1, Kishida said there were “various possibilities to use Web 3.0” in Japan. He added that the Japanese government could use things like non-fungible tokens (NFTs) and decentralized autonomous organizations (DAOs) in its efforts to revitalize regions and promote “Cool Japan,” a national strategy aimed at showcasing innovations and culture. from the country to the rest of the world.
“If we take DAOs into account, people who are interested in the same social issues can form a new community,” says Kishida. “DAOs can also be used to diversify creator revenue and maintain a very loyal fan base.”
Taira chairs the government’s working group on Web 3.0 policy. He pointed to coordination with Japan’s tax authorities, as well as the investigation into releasing a digital yen—the country’s central bank announced in November that it planned to start a pilot program for a digital currency beginning in spring 2023.
“I think that these types of Blockchain technology and technology that Web 3.0 uses are effective in solving the various problems that we have,” Taira said.
Since taking office in October 2021, Kishida has occasionally spoken about the Japanese government’s intentions to invest in Web3 services as part of the country’s digital transformation. In September, his cabinet allowed the issuance of NFTs as a reward to regional authorities that used digital technology to solve problems.
The deputy director general of the Office of Strategy Development and Management of the Japan Financial Services Agency has called for stricter rules for cryptocurrencies, similar to those for banks. At the center of the cryptocurrency market, some exchanges such as Coinbase and Kraken have closed their operations in Japan, while the local subsidiary of the bankrupt company FTX has until March 9 to suspend its activity.
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