Japanese fintech firm JPYC Inc. has launched what it calls the world’s first stablecoin fully backed by the Japanese yen. The digital currency, named JPYC, is designed to maintain a one-to-one value with the yen and is backed by deposits and Japanese government bonds.
JPYC is available on three major blockchains: Ethereum, Avalanche, and Polygon, enabling users, developers, and businesses to access it across multiple ecosystems. The company plans to issue up to 10 trillion yen (about 66 billion U.S. dollars) worth of the token over the next three years, targeting not only the domestic market but also international users who need stable yen-based payments.
According to JPYC’s CEO, Noritaka Okabe, the stablecoin is aimed at helping individuals and businesses make faster and cheaper transactions while supporting startups that want to use blockchain-based settlement systems. He explained that deploying the token on well-known public blockchains increases trust and accessibility for developers building payment and financial tools.
Each JPYC token is fully backed by yen reserves and Japanese government bonds, ensuring that its value remains stable and fully redeemable. The model has received full regulatory approval from Japan’s Financial Services Agency (FSA), which earlier this year granted JPYC Inc. a license to operate as a registered money transfer business. This approval makes JPYC the first officially recognised yen-pegged stablecoin under Japanese law.
Japan’s financial regulators have long taken a cautious but structured approach to cryptocurrency. By allowing JPYC to operate under clear guidelines, the FSA aims to promote innovation while ensuring safety for users. Industry observers see this as a turning point for Japan, which has been gradually opening its financial system to blockchain-based products while maintaining strict oversight.
Although Japan remains a country where cash and credit cards dominate, JPYC could help accelerate the transition to digital payments. With the combination of blockchain transparency, strong regulatory backing, and yen-based stability, JPYC positions itself as a major player in connecting traditional finance with decentralised technology in Asia’s second-largest economy.
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