What is the currency of Japan?

Answer: Japanese yen.
Explanation: The Japanese yen (円) is the official currency of Japan. It is abbreviated as JPY and is denoted by the symbol "¥". The yen is divided into 100 sen, although sen coins are no longer in circulation. The Bank of Japan is responsible for issuing and managing the currency.

The country of Japan, known for its rich history, technological advancements, and unique culture, also has its own distinct currency - the Yen, symbolized as ¥ and internationally represented by the code JPY.

Introduction to the Yen

The Yen, which translates to 'a round object' or 'circle' in English, was officially adopted as Japan's currency in 1871. The implementation of the Yen was a part of the modernization period of the Meiji era. It replaced the complex system of the Edo Period, characterized by a mix of currencies including Mon, a currency based on copper and silver coins.

Banknotes and Coins

The Yen is available in both coin and banknote form. Coins come in denominations of 1, 5, 10, 50, 100, and 500 Yen. The banknotes are available in denominations of 1,000, 5,000, and 10,000 Yen. Each banknote features portraits of prominent figures from Japanese history.

The Yen in the Global Economy

As of my knowledge cutoff in September 2021, the Yen is one of the world's most traded currencies, often associated with the 'safe-haven' status in times of financial markets volatility due to Japan's stable political and economic environment. The Bank of Japan, the country's central bank, manages the issuance and supply of the Yen.

In conclusion, the Yen plays a crucial role not only in Japan's economy but also in the global financial market. It stands as a symbol of Japan's economic strength and stability.