USDC Issuer Circle Might Launch a Stablecoin in Japan

Circle, the issuer of stablecoin USDC, is planning on launching a stablecoin in Japan, as voiced by CEO and co-founder Jeremy Allaire in an interview with CoinDesk.

Allaire believes Japan will become a crucial market for the cryptocurrency industry, particularly if it is used in cross-border trading, due to the regulations surrounding stablecoins established in June 2022.

These rules require stablecoins to stay reliably pegged to the yen or other legal tenders and guarantee users’ right to redeem them at their full face value.

Though few details were given on the impending stablecoin issuance, Circle nonetheless appears eager to partner with Japan’s third largest economy.

To demonstrate their progress in the stablecoin space, in March, Tokyo Kiraboshi Financial Group, Minna no Bank, and The Shikoku Bank all revealed their plans to trial “stablecoins” built on the Japan Open Chain blockchain.

The consequences of the failure of the Terra stablecoin in 2022 also sparked a round of stringent measures concerning secure coin offerings in order to protect investors.