Central bank digital currencies will help boost trading of cryptocurrencies by providing a more convenient platform for converting cryptocurrencies into legal tenders, said Oki Matsumoto, head of Japan’s Monex Group.
Matsumoto, chief executive of the major financial services firm, welcomed the Bank of Japan’s plan to look into the idea of issuing a central bank digital currency (CBDC), saying it will help Japan move toward a more efficient, digitalised economy.
“CBDCs will significantly enhance the interoperability of cryptocurrencies,” he told Reuters on Tuesday. “It would make the cryptocurrency market more lively.”
At present, converting cryptocurrencies into legal tenders is not easy because many smaller cryptocurrency exchange brokers do not hold bank accounts, Matsumoto said.