Japanese fintech startup JPYC is set to introduce the country’s inaugural yen-backed stablecoin after securing a license this week, marking a significant milestone in Japan’s digital asset landscape.
The new stablecoin, to be named “JPYC,” is slated for release this autumn and will be fully convertible to Japanese yen, CEO Noritaka Okabe announced at a press conference.
The company plans to fully back JPYC with domestic savings and Japanese government bonds (JGBs), ensuring both liquidity and stability. Rather than charging transaction fees, JPYC’s business model hinges on earning interest income from increasing its holdings of JGBs as the supply of stablecoins expands.
JPYC’s goal is to function as a digital yen that can be used internationally, delivering Japanese financial credibility to people worldwide, Okabe added.
JPYC’s move arrives as stablecoins—blockchain-based digital assets pegged to fiat currencies—gain adoption globally due to their potential for faster and lower-cost transactions.
In the United States, regulatory clarity has begun to take shape after President Donald Trump signed legislation in July establishing federal oversight and rules for stablecoin issuance. Major U.S. financial institutions including Bank of America and Fiserv are preparing to launch their own dollar-linked crypto tokens, though regulatory and operational challenges remain.
Meanwhile, regulatory climates differ sharply elsewhere. Chinese authorities have this month directed major brokerages to stop publishing research promoting stablecoins, seeking to stem rising interest in the digital tokens amid a continuing national ban on crypto trading.
