Japan's Ruling Party Proposes Integration of AI and Blockchain in Finance

Japan's Liberal Democratic Party's Digital Society Promotion Headquarters has released a proposal to integrate artificial intelligence (AI) with blockchain technology to automate decision-making, financing, and asset management, according to ChainCatcher. The proposal aims to establish finance as the '18th growth investment field.' Key measures include the tokenization of Bank of Japan's current account deposits, including wholesale central bank digital currencies (CBDCs), with a goal to finalize discussions by the end of the year. Additionally, three major banks plan to issue stablecoins, targeting operational launch by March next year. The proposal also advocates for the tokenization of real-world assets such as receivables and real estate. On the international front, the proposal suggests creating an 'AI and Blockchain Finance Asia Policy Dialogue Framework' and advancing cross-border settlements using yen-denominated stablecoins, as part of a 'Global SC Corridor Concept.'