Core Viewpoint - The launch of the JPYC stablecoin, pegged to the Japanese yen, marks a significant milestone in Japan's monetary history and is seen as a test for the penetration of yen-based stablecoins in society [4]. Group 1: Launch and Initial Performance - JPYC began issuing its stablecoin on October 27, with an issuance amount reaching 15 million yen within the first three hours [2]. - The global stablecoin market has expanded rapidly, with a total market size of approximately $300 billion, predominantly driven by USD-pegged stablecoins [2][4]. Group 2: Market Context and Trends - The issuance of JPYC is part of a broader global trend where major financial institutions in Europe and the U.S. are developing and issuing stablecoins for various applications, including international remittances and asset management [4]. - Stablecoins are designed to maintain a 1:1 value with fiat currencies, with JPYC effectively equating to 1 yen, despite minor price fluctuations [5]. Group 3: Technological Foundation - JPYC, like other stablecoins, is based on blockchain technology, which allows for low-cost and rapid remittance capabilities [5].

Group 1 - The world's first stablecoin pegged to the Japanese yen has been launched by a Japanese startup named JPYC, marking a significant step for a country where traditional payment methods are still preferred [1] - JPYC plans to issue stablecoins worth 10 trillion yen (approximately 66 billion USD) over the next three years, aiming for widespread international use [1] - The company intends to initially waive transaction fees to encourage adoption, planning to generate revenue through interest earned from holding Japanese government bonds [1] Group 2 - Former Bank of Japan executive Tomoyuki Shimoda expressed uncertainty about the widespread adoption of yen stablecoins, suggesting that large banks' participation could accelerate the process, which may still take two to three years [2] - Concerns have been raised by policymakers regarding the potential for stablecoins to facilitate capital outflows from regulated banking systems and diminish the role of commercial banks in global payments [2] - Ryozo Himino, Deputy Governor of the Bank of Japan, indicated that stablecoins could become key players in the global payment system, potentially replacing some functions of bank deposits, and called for regulatory adjustments [2]