Japan's Liberal Democratic Party is pushing for legislation on crypto ETFs and the application of yen stablecoins in cross-border payments.

On June 2nd, Cryptopolitan reported that Japan's Liberal Democratic Party (LDP) has submitted a proposal to Finance Minister Satsuki Katayama. The proposal requests the establishment of a legal framework for cryptocurrency ETF trading and advocates for the application of yen-denominated stablecoins in the Asian payment sector. The LDP's Blockchain Promotion Group believes that cryptocurrency ETFs are a simpler investment tool than directly holding crypto assets and should be formally recognized in the Japanese market. Concurrently, the group hopes the government will promote yen-denominated stablecoins as payment gateways in the Asian market. JPYC plans to launch Japan's first licensed yen-denominated stablecoin in October 2025, with over 1 billion yen already issued. The three major banks—Mitsubishi UFJ, Sumitomo Mitsui, and Mizuho Bank—have jointly conducted stablecoin experiments.