According to The Kobeissi Letter, the Bank of Japan currently holds 52% of all domestic government bonds, vastly outpacing holdings by life insurers (13.4%), banks (9.8%), and pension funds (8.9%). Bloomberg reports the Japanese government’s debt has reached $7.8 trillion. This unprecedented concentration of government bond ownership by a central bank signals ongoing aggressive monetary policy, raising concerns about yen stability and potential spillovers into the cryptocurrency market. Traders should monitor for increased volatility in JPY pairs and risk-on assets like Bitcoin, as shifts in Japanese monetary policy or bond yields could drive capital flows into crypto markets. Source: The Kobeissi Letter on Twitter, Bloomberg.