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Ripple’s CEO Brad Garlinghouse is convinced Japan will see strong demand for a yen stablecoin. He didn’t make any promises about Ripple launching one just yet, though. In an interview with Bloomberg’s The China Show, Brad said:  “People will want to hold yen stablecoins, and I think that is only a matter of time.” Brad praised Japan’s regulatory clarity on stablecoins and cryptocurrencies, which he believes has been a key factor in the country’s thriving crypto scene.  He mentioned that Japan has been ahead of the curve compared to countries like the US, UK, and Switzerland. But again, not for Ripple. At least not right now. Brad emphasized that: “We will first issue it in the US, but we think there is opportunity for stablecoins globally, and certainly in Japan.” Yen stands strong Meanwhile, the yen is still gaining strength against major currencies, especially the US dollar. The USD/JPY exchange rate dropped to 142.27 yen, down from 143.38 on September 6. This is largely due to speculation that the Federal Reserve might cut interest rates. The Bank of Japan (BOJ) is also considering policy adjustments, with Governor Kazuo Ueda saying they may hike rates if their economic outlook holds. Additionally, fears of a US recession are making safe-haven currencies like the yen and Swiss franc more attractive to investors. The USD/JPY pair has a volatile history, peaking at 358.44 in January 1971. Predictions from Trading Economics says the exchange rate could trade around 144.49 by the end of this quarter and hit 148.51 within 12 months. The yen carry trade unwind led to market volatility in early August, but economists are hopeful for a market recovery in October.  Japan is also dealing with low inflation, with its core inflation rate sitting at 2%, much lower than in the US. Stablecoin…

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Filed under: News - @ September 8, 2024 11:39 pm