TOKYO, 27 October 2025 – Japanese fintech firm JPYC Inc. (JPYC) has started issuing the world’s first yen-backed stablecoin which shares its same moniker ‘JPYC’. Launched today, the Tokyo-based company also unveiled JPYC EX, a dedicated platform to issue and redeem the digital token, which maintains a 1:1 exchange rate with the yen.
The JPYC stablecoin runs on blockchains such as Ethereum, Avalanche, and Polygon. It is backed by government bonds and bank deposits and operates under Japan’s Payment Services Act.
The arrival of JPYC is timely as it becomes the first yen-backed stablecoin to compete against dollar-pegged tokens like Tether’s USDT and Circle’s USDC.
Over the next three years, the company aims to hit a JPYC circulation of US$65.4 billion. The largest stablecoin USDT now has a supply of around US$183.2 billion currently circulated.
Japan Joins the Stablecoin Race
Japan’s leading banks Sumitomo Mitsui Banking Corporation, Mitsubishi UFJ Financial Group (MUFG), and Mizuho Bank are also jointly developing a yen-pegged stablecoin to be issued through MUFG’s Progmat platform.
Meanwhile, Japan’s Financial Services Agency is working to refine regulations to enable banks to hold cryptocurrencies as part of their investment portfolios.
Several Japanese fintechs like Densan System, HashPort, and Asteria have already confirmed plans to accept JPYC into their systems.
These developments highlight a growing shift in Japan, from a traditionally conservative financial ecosystem to one that is increasingly integrating digital assets across its economy.
