Japanese stablecoin issuer JPYC: Stablecoin issuers could develop into major buyers of Japanese government bonds

Tokyo-based JPYC, the issuer of Japan's first yen-pegged stablecoin, said the issuer could develop into a major buyer of Japanese government bonds (JGBs) as its reserves grow. JPYC began issuing its yen token, "JPYC", on October 27 under Japan's revised Payment Services Act - the country's first legal framework for stablecoins. The company has issued about $930,000 worth of tokens to date and plans to have $66 billion in circulation over the next three years. JPYC plans to invest 80% of the proceeds from the offering in Japanese government bonds, with the remaining 20% in banks, initially focusing on short-term securities.