Japan has officially entered the stablecoin market with the launch of its first-ever yen-backed digital currency, called JPYC. The coin, created by Tokyo-based fintech company JPYC Inc., is pegged 1:1 to the Japanese yen and became available for use on Monday. Each token is fully backed by bank deposits and government bonds, ensuring that its value stays equal to the yen at all times.
JPYC operates under Japan’s Payment Services Act, which regulates digital payments and financial transactions. The stablecoin has been launched across major blockchain networks such as Ethereum, Avalanche, and Polygon, allowing users to send and receive JPYC securely and quickly.
To buy JPYC, users must sign up on the company’s official platform, JPYC EX, and verify their identity using Japan’s My Number ID system. After verification, they can deposit yen through bank transfer and receive an equal amount of JPYC in their crypto wallets. The platform also allows users to convert JPYC back into yen whenever they want.
The company has designed JPYC EX to meet Japan’s strict anti-money laundering standards. During a press conference in Tokyo, JPYC’s President, Noriyoshi Okabe, shared that several local companies are already preparing to integrate the new token into their systems. He explained that JPYC aims to make financial transactions cheaper and faster, helping startups and businesses handle payments with lower fees.
Seven Japanese firms are already planning to use JPYC in their products and services. For instance, Densan System is building payment tools for retail and e-commerce that will use JPYC, while Asteria plans to include JPYC transactions in its enterprise software solutions. Crypto wallet provider HashPort has also confirmed that it will support JPYC.
JPYC’s long-term vision is ambitious, the company aims to reach a total issuance of 10 trillion yen within three years. It also plans to expand to more blockchain networks and enable cross-border usage, allowing JPYC to become part of a larger global payment ecosystem.
The launch marks a major step for Japan’s growing digital currency market. Until now, the space has been dominated by U.S. dollar-pegged stablecoins such as USDT and USDC. However, with Circle introducing USDC in Japan earlier this year and big financial groups like MUFG, SMBC, and Mizuho working on their own yen-backed tokens, the competition in Japan’s stablecoin sector is heating up.
At the same time, Japan’s Financial Services Agency is reviewing new policies that could let traditional banks buy and sell cryptocurrencies like Bitcoin under regulated conditions. This shift shows how Japan is slowly opening up to deeper integration between digital assets and the broader financial system.
