Japan’s Financial Services Agency is poised to authorise the country’s first yen-denominated stablecoin, clearing the way for fintech firm JPYC Inc. to begin issuing the digital token as early as this autumn. The planned stablecoin, also named JPYC, will maintain a one-to-one peg with the yen and be fully collateralised by bank deposits and short-term Japanese government bonds. JPYC Inc. is expected to register as a money-transfer business by the end of the month and aims to place about ¥1 trillion (roughly US$7 billion) of the tokens in circulation over the next three years. Regulators see the move as a step toward cheaper cross-border remittances and broader use of blockchain-based finance inside Japan. Because the collateral pool will include government securities, the programme could marginally increase demand for Japanese sovereign debt. The decision also positions Japan to diversify a global stablecoin market that already exceeds US$250 billion and is dominated by dollar-linked tokens.