According to media reports including Reuters and the Nikkei, the Japanese fintech startup JPYC will officially launch its namesake stablecoin and open exchanges at noon local time on October 27, making it the first stablecoin pegged to the Japanese yen.

According to the company's introduction, the stablecoin "JPYC" it issues will be exchanged at a 1:1 exchange rate with the Japanese yen, supported by domestic savings and government bonds (JGB). The company plans to issue a stablecoin scale of 1 trillion yen (approximately RMB 46.56 billion) within three years. Previously, the company had obtained the registration license for fund transfer business issued by the Japan Financial Services Agency in August 2025.

JPYC stated that in order to promote the popularity of its stablecoin, it will not charge transaction fees in the initial stage, but instead achieve profitability through interest earned from holding Japanese government bonds.

Image source: Nikkei

Reuters analysis suggests that although the scale of its issuance is not large, this step is significant for Japan, where traditional payment methods such as cash and credit cards still dominate. For a long time, the Japanese public has been known for their preference for physical cash. According to data from the Japanese government, as of 2024, the cashless payment ratio in the country was approximately 42.8%.

Stablecoins based on blockchain have gained widespread attention globally due to their fast and low-cost transaction characteristics. In July this year, U.S. President Trump signed federal rules and guidelines for stablecoins, aiming to promote their use in daily payments and settlements. According to data from the Bank for International Settlements (BIS), stablecoins pegged to the U.S. dollar currently dominate the global market, accounting for more than 99% of the total supply of global stablecoins.

In addition to the small-scale trial by the startup JPYC, recently, Mitsubishi UFJ Bank, Sumitomo Mitsui Banking Corporation, and Mizuho Bank have announced that they will jointly issue stablecoins linked to the value of the Japanese yen, U.S. dollars, and other fiat currencies. Some opinions suggest that this move may mark Japan's formal entry into the global stablecoin competition.

According to previously announced plans, Japan's three major banks will first build an enterprise corporate stablecoin framework that can be exchanged according to the same standards. They plan to first issue a Japanese yen stablecoin, and in the future, also issue a U.S. dollar stablecoin. They will use the system of the emerging fintech company Progmat, and jointly verify practical issues with the Japan Financial Services Agency. It is expected to achieve practical application within this fiscal year.

However, Shigeaki Shimoda, a scholar at Rikkyo University and former executive of the Bank of Japan, believes that whether the Japanese yen stablecoin can be widely popularized in Japan remains highly uncertain. "If the three major banks join this market, the promotion speed might accelerate. However, even so, it may still take at least two to three years," he said.

This article is exclusive to Observer Network. Unauthorized reproduction is prohibited.

Original: https://www.toutiao.com/article/7565734032253616650/

Statement: This article represents the views of the author. Please express your opinion by voting [Up/Down] below.