Japan stablecoin issuers could fill central bank’s bond-buying gap: Report

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Japan’s first yen stablecoin issuer JPYC says growing demand could make stablecoin reserves a new force in the country’s bond market.

Japan’s first domestic stablecoin issuer says digital asset companies could soon become significant players in the country’s sovereign debt market, potentially reshaping monetary policy.

JPYC, the Tokyo-based firm behind Japan’s first yen-pegged stablecoin, said issuers may evolve into major buyers of Japanese government bonds (JGBs) as their reserves expand.

In comments reported by Reuters, JPYC founder and CEO Noritaka Okabe said stablecoin reserves could fill the gap left by the Bank of Japan (BOJ) as it slows its bond purchases.

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