Japan considers blockchain infrastructure for instant securities settlement

Nikkei, as reported by a report, said Japan’s Financial Services Agency, Ministry of Finance, Bank of Japan and financial institutions plan a study group on blockchain-based instant settlement for shares and government bonds, with a development plan possible from 2027.

Why it matters: Real-time settlement could reduce counterparty exposure and free capital, but changes liquidity, operational and cyber-risk models.

Business/technical/strategic impact: This is a reported plan, not an approved production system. Technical design, governance, finality, privacy, interoperability and operating date remain unresolved.