Japan: Introduced stablecoin investor protection bill

On 4 March 2022, the "Bill to partially revise the Act on Fund Settlement to Build a Stable and Efficient Fund Settlement System" was introduced to the Japanese House of Representatives. The legislation aims to protect investors and increase stability in cryptocurrency investments by defining and regulating stablecoins. The bill defines stablecoins as digital money if they are tied to the YPI or other legal tenders. Specifically, the bill states that only licensed banks, trust companies, and registered money transfer agents can issue stablecoins. Furthermore, investors are granted the right to redeem stablecoins at face value. The bill would not apply to stablecoins already on the market or foreign overseas issuers. will enter into force in 2023 but does