Catenaa, Tuesday, May 26, 2026- Japan’s ruling Liberal Democratic Party has approved a policy proposal to build a next-generation financial system powered by artificial intelligence and blockchain technology, signaling a major push toward automated digital commerce and tokenized finance.
The proposal, titled “Next-generation AI & Onchain Finance Concept,” was developed by an LDP project team led by party member Seiji Kihara and formally approved Tuesday by the party’s Policy Research Council.
The plan focuses on creating a 24-hour automated financial infrastructure capable of supporting “agentic commerce,” where AI systems independently select and execute purchases, services and financial transactions on behalf of users.
The proposal said blockchain networks are well suited for such systems because of their programmable, tamper-resistant and verifiable structure.
Japan’s ruling party also endorsed expanded development of tokenized bank deposits and yen-denominated stablecoins as part of the initiative.
The proposal specifically highlighted the importance of tokenizing current account deposits held at the Bank of Japan.
It also backed ongoing stablecoin projects involving Japan’s three major banking groups while calling for stronger legal clarity and safeguards against systemic financial risks.
The document further proposed deeper cooperation with Asian countries on AI and blockchain development and urged Japan’s Financial Services Agency to create a five-year investment roadmap involving both public and private sector participation.
The proposal now moves into broader policy discussions as the LDP works with regulators, financial institutions and industry participants to transform the concept into official government policy.
Japan has increasingly positioned itself as one of Asia’s most active jurisdictions supporting regulated blockchain finance, stablecoins and tokenized asset infrastructure.
The initiative also reflects intensifying global competition among major economies seeking leadership in AI-driven financial systems and programmable digital money.
