Bitcoin Can Save Japan Faster Than Super Mario

Bitcoin Can Save Japan Faster Than Super Mario

Share to Linkedin A person dressed as the Nintendo character Mario waves at a pop-up Nintendo venue in Madison Square ... [+] Park, March 3, 2017 in New York City. Since 1999, the Bank of Japan has done virtually everything imaginable to defeat deflation. It pumped untold trillions of dollars of liquidity into markets, cornered government bond trading, hoarded stocks and pushed interest rates negative. Little did Tokyo know that bitcoin might be the answer to its prayers. Actually, make that cryptocurrencies with a timely assist from rival China. For years now, economists like Andy Haldane at the Bank of England argued that central bank-issued digital currencies were the answer to defeating deflation. The idea is that digital tools could help policymakers gain greater traction in efforts to extend credit. And yet, the Bank of Japan largely dragged its feet. Governor Haruhiko Kuroda has long expressed an openness to "study" whether the BOJ should create a digital yen and the mechanics of how it might work. He acted glacially. Now, as China races ahead in doing just that, the sense of urgency at BOJ headquarters is growing. Last weekend, Kuroda's team unveiled plans to experiment with a digital yen this