Japan is preparing to launch a stablecoin supported by the yen under strict regulations.

robot
Abstract generation in progress

The stablecoin race in Japan is heating up as three “giants” of banking – Mitsubishi UFJ, Sumitomo Mitsui, and Mizuho – announced plans for a joint issuance of stablecoins pegged to the yen and the US dollar for corporate payments. After Japan amended the Payment Services Act in 2023, only licensed banks and organizations can issue stablecoins.

The fintech startup JPYC has become the first entity to be licensed for the issuance of a yen-pegged stablecoin, ensuring a 1:1 conversion rate and backed by bank deposits and government bonds. The amendment in 2025 allows 50% of reserves to be in low-risk assets, making the model more sustainable. Although the old legal system still prevails, the stablecoin promises to shorten cross-border transactions to just a few seconds and reduce costs by up to 99%, ushering in a new era of digital finance for Japan.

View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)