Japan Tackles Traditional Markets with Blockchain-Based 24/7 Settlement System

Japan is taking a significant step towards embracing blockchain technology by launching a study group to design a 24/7 settlement system for stocks and government bonds. The Financial Services Agency, Ministry of Finance, Bank of Japan, and private firms will collaborate on this project, which aims to improve liquidity and security in traditional markets.

The current settlement process for stocks takes two days (T+2), while government bonds settle in one day (T+1). By adopting a blockchain-based system, the goal is to narrow the gap between traditional markets and crypto infrastructure. This move could also impact DeFi, CEX/DEX settlement models, and broader crypto adoption.

The study group will kick off this summer, with a full development plan expected by early 2027. For Bitcoin traders, this development signals that mainstream finance is edging closer to the always-on infrastructure that Bitcoin has operated on for over a decade.