Group 1: Core Characteristics of Cryptocurrencies - Cryptocurrencies are characterized by decentralization and anonymity, with no single entity controlling the network and transactions being conducted without revealing personal identities [2] - The security of cryptocurrencies relies on cryptographic technology, specifically the "public-private key pair" system, where the public key serves as a receiving address and the private key is the unique proof of asset ownership [2] - Blockchain technology acts as the underlying ledger for cryptocurrencies, utilizing distributed storage to ensure transaction information is recorded across numerous global nodes, making it both transparent and immutable [2] Group 2: Types of Cryptocurrencies - Native cryptocurrencies, such as Bitcoin and Ethereum, have no specific issuer and their supply is typically predetermined by algorithms, serving as value carriers or transaction fee payments within their respective networks [3] - Stablecoins are pegged to fiat currencies or physical assets, exhibiting minimal price volatility, and are used to mitigate risks associated with the fluctuating cryptocurrency market [3] - Platform tokens are issued by specific blockchain platforms for functional use or governance voting, allowing holders to pay service fees or participate in platform upgrades [3] - Application tokens are designed for specific use cases, with their value dependent on the success and user adoption of the corresponding applications [3] Group 3: Key Risks Associated with Cryptocurrencies - Regulatory risks arise from varying attitudes towards cryptocurrencies across countries, with some nations outright banning their circulation, which can directly impact their legality [2] - Price volatility is a significant concern, with daily fluctuations exceeding 20% being common, influenced by market sentiment and policy changes [4] - Technical risks include vulnerabilities in blockchain technology, such as smart contract flaws and potential hacking incidents, which can lead to asset losses [4]

Core Viewpoint - The European Central Bank (ECB) Governing Council member Wunsch believes that price risks are skewed more towards the downside [1] Group 1 - Wunsch's comments suggest a cautious outlook on inflation, indicating that the risks of prices falling may be more significant than previously anticipated [1] - The statement reflects a broader concern within the ECB regarding the potential for lower inflation rates in the near future [1]

Core Viewpoint - The possibility of the Bank of Japan needing to raise interest rates to address upward price risks cannot be ruled out, despite ongoing US-Japan trade negotiations [1] Group 1 - The Bank of Japan's committee member, Naoki Tamura, indicated that significant price risks may necessitate a rate hike [1] - A rate increase would imply that price risks are substantial enough that no measures could prevent the Bank of Japan from falling behind the situation [1]

Core Viewpoint - The Bank of Japan may need to take decisive action if upward price risks intensify [1] Group 1 - Naoki Tamura, a member of the Bank of Japan's Policy Board, indicated that the central bank is closely monitoring price risks [1] - The potential for increased inflationary pressures could prompt a shift in monetary policy [1]

Core Viewpoint - The Governor of the Bank of Japan, Kazuo Ueda, indicated that there are potential upward and downward risks to prices [1] Group 1 - The Bank of Japan is closely monitoring inflation trends and the associated risks [1] - Ueda emphasized the importance of maintaining a flexible monetary policy to address these risks [1] - The central bank's stance reflects ongoing concerns about economic stability and price movements in Japan [1]

Core Viewpoint - The mid-term price risks are not as pronounced as the short-term ones according to ECB Governing Council member Mahrouf [1] Group 1 - The statement indicates a differentiation in price risk perception between short-term and mid-term horizons [1]

Group 1 - The core viewpoint is that the medium-term price risks are not as pronounced as the short-term ones according to European Central Bank board member Mahrouf [1]