The post “Want to Be Japan’s Circle,” Says JPYC, Japan’s First Stablecoin Issuer appeared on BitcoinEthereumNews.com. JPYC Inc., a Tokyo-based fintech, has secured regulatory approval to issue Japan’s first yen-denominated stablecoin and will launch a new issuance and redemption platform dubbed “JPYC X” in the coming weeks. The announcement marks a breakthrough for Japan’s digital asset industry as it adapts to new legislation designed to bring stablecoins under financial regulation. Japan’s First Licensed Yen Stablecoin In Tuesday afternoon’s press conference, the company said it received registration as a “funds transfer service provider” under Japan’s amended Payment Services Act, enabling it to issue the electronic money token directly backed by yen. JPYC will issue the token on Ethereum, Avalanche, and Polygon, using a non-custodial model where users hold their own assets. Identity verification will rely on Japan’s My Number card IC chip, offering stringent KYC and low costs. Authorities can block transactions flagged as potentially illicit through formal court or police requests. Japanese government bonds and trust deposits will primarily back the stablecoin, with authorities holding over 101% reserves. JPYC projects gross profits of around ¥5 billion ($34 million) annually for every ¥1 trillion ($6.8 billion) issued, primarily from bond yields. The company will initially allocate 80% of its reserves to government bonds and 20% to deposits, potentially shifting toward longer-term bonds later. Stablecoin on Barcode Payments The token will initially target domestic users, as KYC requires a My Number card, excluding overseas residents. Potential users include institutional investors, hedge funds, family offices, and sophisticated individuals. Possible applications include trade settlement, remittances, and DeFi integration. JPYC has already conducted demonstrations of barcode payments at convenience stores and expects POS system integration from next year. Developers can access free Node.js and Python SDKs to integrate payment functions into e-commerce sites with minimal coding, even through AI tools like ChatGPT. Yen-pegged Stablecoin Market Poised to Grow JPYC estimates the… The post “Want to Be Japan’s Circle,” Says JPYC, Japan’s First Stablecoin Issuer appeared on BitcoinEthereumNews.com. JPYC Inc., a Tokyo-based fintech, has secured regulatory approval to issue Japan’s first yen-denominated stablecoin and will launch a new issuance and redemption platform dubbed “JPYC X” in the coming weeks. The announcement marks a breakthrough for Japan’s digital asset industry as it adapts to new legislation designed to bring stablecoins under financial regulation. Japan’s First Licensed Yen Stablecoin In Tuesday afternoon’s press conference, the company said it received registration as a “funds transfer service provider” under Japan’s amended Payment Services Act, enabling it to issue the electronic money token directly backed by yen. JPYC will issue the token on Ethereum, Avalanche, and Polygon, using a non-custodial model where users hold their own assets. Identity verification will rely on Japan’s My Number card IC chip, offering stringent KYC and low costs. Authorities can block transactions flagged as potentially illicit through formal court or police requests. Japanese government bonds and trust deposits will primarily back the stablecoin, with authorities holding over 101% reserves. JPYC projects gross profits of around ¥5 billion ($34 million) annually for every ¥1 trillion ($6.8 billion) issued, primarily from bond yields. The company will initially allocate 80% of its reserves to government bonds and 20% to deposits, potentially shifting toward longer-term bonds later. Stablecoin on Barcode Payments The token will initially target domestic users, as KYC requires a My Number card, excluding overseas residents. Potential users include institutional investors, hedge funds, family offices, and sophisticated individuals. Possible applications include trade settlement, remittances, and DeFi integration. JPYC has already conducted demonstrations of barcode payments at convenience stores and expects POS system integration from next year. Developers can access free Node.js and Python SDKs to integrate payment functions into e-commerce sites with minimal coding, even through AI tools like ChatGPT. Yen-pegged Stablecoin Market Poised to Grow JPYC estimates the…

“Want to Be Japan’s Circle,” Says JPYC, Japan’s First Stablecoin Issuer

JPYC Inc., a Tokyo-based fintech, has secured regulatory approval to issue Japan’s first yen-denominated stablecoin and will launch a new issuance and redemption platform dubbed “JPYC X” in the coming weeks.

The announcement marks a breakthrough for Japan’s digital asset industry as it adapts to new legislation designed to bring stablecoins under financial regulation.


Japan’s First Licensed Yen Stablecoin

In Tuesday afternoon’s press conference, the company said it received registration as a “funds transfer service provider” under Japan’s amended Payment Services Act, enabling it to issue the electronic money token directly backed by yen.

JPYC will issue the token on Ethereum, Avalanche, and Polygon, using a non-custodial model where users hold their own assets. Identity verification will rely on Japan’s My Number card IC chip, offering stringent KYC and low costs. Authorities can block transactions flagged as potentially illicit through formal court or police requests.

Japanese government bonds and trust deposits will primarily back the stablecoin, with authorities holding over 101% reserves. JPYC projects gross profits of around ¥5 billion ($34 million) annually for every ¥1 trillion ($6.8 billion) issued, primarily from bond yields.

The company will initially allocate 80% of its reserves to government bonds and 20% to deposits, potentially shifting toward longer-term bonds later.


Stablecoin on Barcode Payments

The token will initially target domestic users, as KYC requires a My Number card, excluding overseas residents. Potential users include institutional investors, hedge funds, family offices, and sophisticated individuals.

Possible applications include trade settlement, remittances, and DeFi integration. JPYC has already conducted demonstrations of barcode payments at convenience stores and expects POS system integration from next year.

Developers can access free Node.js and Python SDKs to integrate payment functions into e-commerce sites with minimal coding, even through AI tools like ChatGPT.

Yen-pegged Stablecoin Market Poised to Grow

JPYC estimates the yen stablecoin market could expand to ¥40–83 trillion ($270–560 billion) in the next five years, driven partly by carry trade demand. Its issuance target is to grow from tens of billions to trillions of yen, with a long-term goal of ¥10–100 trillion.

Under its second-tier license, the company currently faces a regulatory cap of ¥1 million per day for issuance and redemption. To enable larger-scale corporate use, JPYC plans to pursue a first-tier license in consultation with regulators.

Founded in 2019, JPYC first offered “JPYC Prepaid” in 2021 and later secured registration as a third-party prepaid issuer. The company is now phasing out the prepaid payment service, which caps circulation at approximately ¥3.5 billion ($24 million).

To achieve its new license, JPYC X submitted more than 200 documents to regulators and strengthened systems for AML, CFT, and risk management. Users will migrate to JPYC X, where issuance and redemption fees will remain free initially to encourage adoption. The platform caps daily issuance and redemption at ¥1 million ($6,800) per person, while peer-to-peer wallet transfers remain unlimited.

JPYC employs 25 staff and has six directors, including outside crypto, law, and accounting experts. Circle, issuer of USDC, invested in the firm in 2021, alongside Japanese and international venture capital.

The company is preparing for a Series B fundraising round to accelerate scale, licensing, and overseas expansion. Chief Executive Noritaka Okabe said at the press conference the goal is to “become Japan’s Circle.”


JPYC’s Next Focus: Scaling Utility

JPYC X will go live within weeks. Among its upcoming priorities are integration with major wallets and payments providers and expanding retail use cases.

Unlike crypto assets, yen stablecoins are treated as cash equivalents in corporate accounting, lowering the hurdle for adoption. That positioning and regulatory clarity could establish JPYC as the trusted issuer of Japan’s first fully regulated digital yen.

The post “Want to Be Japan’s Circle,” Says JPYC, Japan’s First Stablecoin Issuer appeared first on BeInCrypto.

Source: https://beincrypto.com/want-to-be-japans-circle-says-jpyc-japans-first-stablecoin-issuer/

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