Japan has officially entered the stablecoin race with the launch of JPYC, the first yen-backed stablecoin approved under the nation’s financial regulations. Announced by fintech company JPYC Inc, the stablecoin became available on October 27, 2025, across three major blockchains — Ethereum, Avalanche, and Polygon. This marks a new chapter in Japan’s digital finance ecosystem, aiming to merge blockchain transparency with the stability of the Japanese yen.
JPYC is fully compliant with Japan’s Payment Services Act, following JPYC Inc’s registration as an official money transfer service provider in August 2025. This compliance ensures that JPYC is not a speculative asset but a legitimate electronic payment instrument. Each token is backed 1:1 by the Japanese yen, held in bank deposits and government bonds exceeding 100% of tokens in circulation, ensuring unmatched security and trust.
The stablecoin’s design focuses on instant transactions, low-cost transfers, and value stability, offering a seamless bridge between traditional finance and blockchain-powered payment systems. To facilitate user interaction, JPYC Inc launched JPYC EX, a platform where verified users can easily deposit yen to mint JPYC or redeem JPYC for yen. Verification integrates directly with Japan’s My Number Card / JPKI, ensuring both security and legal transparency.
The company has set an ambitious target: 10 trillion yen (approximately $65 billion) in circulation within three years. While this is still far behind Tether’s $183 billion market cap, JPYC’s legal recognition and integration with real-world financial systems may make it a credible alternative for yen-based transactions both domestically and globally.
A growing number of companies have already integrated JPYC into their operations. Densan System Co enables JPYC payments across 65,000 retail locations, ASTERIA Warp automates business cashflows for over 10,000 enterprises, and HashPort Wallet supports JPYC through the EXPO2025 Digital Wallet, reaching 700,000 users. Other adopters include N Suite (double jump.tokyo) for corporate asset management, Nudge Card for card payments in yen via JPYC, comilio for artist and manga creator payments, and CryptoLinC for automatic tax transaction reporting.
JPYC Inc emphasizes that its mission is to build an open financial infrastructure that any business or developer can integrate without special agreements, expanding the ecosystem of yen-based digital transactions. “A new economic sphere centered around JPYC is rapidly taking shape,” the company stated. “We aim to continue expanding partnerships and develop products that meet diverse needs from individuals to corporations.”
Beyond Japan, JPYC aims to position the yen as a global digital currency, offering a stable alternative for international remittances and cross-border trade. As digital economies evolve, the integration of regulated stablecoins like JPYC could redefine how businesses and individuals interact with money — merging blockchain efficiency with traditional financial reliability.
Conclusion:
JPYC’s launch signifies a pivotal shift in Japan’s financial landscape, setting a precedent for how nations can adopt regulated stablecoins to modernize payments. With its robust backing, legal compliance, and extensive business partnerships, JPYC may soon become a model for other countries seeking to balance financial innovation with economic stability.
