Japan’s Bond Market Meltdown Sparks Crypto Surge

Japan’s government bond market is experiencing a severe liquidity crisis, with yields soaring to record highs and losses exceeding $500 billion. This crisis has triggered concerns about potential global contagion effects as Japan’s massive debt burden and policy missteps disrupt international markets. The scale of the Japanese crisis is evident in key data: over 45 days, the yield on Japanese government bonds has climbed by 100 basis points to reach a historic high of 3.20%, while long-duration bonds have declined over 20%. This dramatic surge signals underlying structural issues.