Stablecoin JPYC Debuts as Japan’s First Compliant Yen Token
Key Highlights:
- JPYC Inc has launched Japan’s first yen-pegged stablecoin.
- The company has also launched JPYC EX, which is the main platform that will carry out the issuance and the redemption of the stablecoin.
- In the next three years, JPYC Inc, plans to issue 10 trillion yen.
JPYC Inc, a fintech company pioneering regulated yen-backed digital currencies, has launched Japan’s first fully regulated yen-backed stablecoin, JPYC, along with its dedicated platform, JPYC EX for issuance and redemption purposes. The stablecoin is pegged 1:1 to the Japanese yen, and it is backed by bank deposits and Japanese government bonds, making sure it provides full transparency and trust.
Trading and issuance have begun from today, October 27, 2025. The announcement was made by Noritaka Okabe (Representative Director at JPYC Inc) today, October 27, 2025, on social media platform X (formerly known as Twitter).
Regulatory Foundation and Asset Backing
The company first obtained a FSA (Financial Services Agency) license as a registered fund transfer service provider, so that the stablecoin could gain regulatory clarity under Japan’s revised Payment Services Act. Under this system, stablecoins are treated as currency-based assets and not cryptocurrencies and also they must be fully backed by real money and safe assets.
Each of these JPYC tokens is supported by matching reserves in bank deposits and Japanese government bonds. This makes sure that there is 1:1 convertibility with yen, with issuance and redemption handled through the JPYC EX platform. This shows that the JPYC is designed in such a way that it allows transparent, fully collateralized digital payments, provides legal protection and institutional-level trust for retail and institutional investors.
The JPYC EX Platform
JPYC is the company’s main platform through which issuing and redemption of JPYC will be carried out. The platform allows users to buy and redeem JPYC tokens directly after they complete identity verification through Japan’s My Number System. As of now, to get more users on-board, the platform is not charging any transaction fees, and it plans to make money from the interest income it earns on the Japanese Government Bonds that back the JPYC stablecoin.
The platform has been designed in such a way that individuals and corporate clients can easily navigate what they want. Businesses can use the platform to make instant settlements, programmable payroll and cross-border remittance without any risks and delays that are usually faced during bank transfers.
It is being said that this platform might attract a significant amount of institutional players such as hedge funds, family offices, and fintech firms, especially as Japan pursues broader blockchain adoption in payments and asset management.
Supported Blockchains and Ecosystem Utility
The stablecoin will be available on various blockchains. As of now, the stablecoin will be supported on Avalanche, Ethereum, and Polygon. This will allow a better integration across DeFi protocols, crypto wallets and enterprise blockchain applications. The token’s cross-chain support makes JPYC a strong base for expanding yen-based digital finance, not just within Japan but also in international markets.
Moreover, Japan’s big three banks, MUFG, SMBC, and Mizuho are also set to jointly launch a yen-pegged stablecoin system that is focused on corporate settlement and large-scale business payments. As per the latest development, the stablecoin is set to launch around 31st of October, 2025. The stablecoin will use MUFG’s Progmat blockchain platform and will set interoperability standards so business can transfer these coins seamlessly between banking partners.
Apart from Japan, South Korea, Hong Kong, the UAE, Kyrgyzstan, Nigeria and Brazil are also actively looking to establish national stablecoin frameworks. Regulatory initiatives in the U.S., U.K, and EU are also intensifying, with compliant stablecoins from banks and digital startups emerging under new rules and global coordination.
Growth Ambition and Market Impact
Japan Inc plans to reach 10 trillion yen ($65.4 billion) in stablecoin circulation within the next three years, putting it at par with some of the world’s biggest stablecoins. The company is also looking forward to expanding to more blockchain and partnering with businesses in Japan and around the world.
As JPYC is fully regulated and it is backed by real assets, it could increase demand for Japan’s government bonds, increase money flow more easily and possibly affect the interest rate. Japan’s rules clearly show how stablecoins can grow safely and responsibly and are setting an example for other countries as well.
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