Japan's top regulator cautions against crypto deregulation

Doing so would simply increase speculative trading, he said.

Japan’s new top financial regulator has warned against deregulating cryptocurrencies as doing so may not necessarily promote innovation, reports Reuters.

Financial Services Agency commissioner Ryozo Himino opined that Tokyo should focus instead on issuing central bank digital currencies (CBDC) as the pandemic could accelerate a cashless society.

Deregulating cryptocurrencies will simply increase speculative trading, he added. Himino also headed last year’s G20 debate on crypto regulation.

Under Japan’s chair, major G20 economies agreed to set strict regulations on cryptocurrencies such as Facebook’s Libra, warning that various global risks they could pose must first be addressed.

Here's more from Reuters.