INX Limited (INX), the owner of a regulated cryptocurrency exchange and a digital security trading platform, has partnered with GMO-Z.com Trust Company, Inc. (GMO Trust), to list the world’s first regulated Japanese yen stablecoin, GYEN, for retail and institutional investors through its subsidiary, INX Digital, Inc. (“INXD). INXD will also be listing GMO Trust’s USD-backed stablecoin, ZUSD. INX and GMO had announced plans to cooperate on regulated stablecoins earlier this year.
The Yen Stablecoin Lists on INX Digital starting October 5th.
GMO Trust is the New York-based, regulated stablecoin subsidiary of Japanese financial services and internet conglomerate, GMO Internet Group (GMO Group). GMO Group owns and operates the world’s largest online FX trading platform by volume, a Japanese regulated internet bank, a cryptocurrency exchange, a cryptocurrency mining operation and a payment gateway service.
GMO Click Securities, the forex arm of GMO Group, has been ranked the largest forex broker in the world by volume for the majority of the last decade, with volumes consistently surpassing $1 trillion dollars a month. To expand GMO Group’s cryptocurrency footprint, GMO Trust was established as a limited purpose trust company regulated in New York and launched GYEN and ZUSD.
The introduction of this Japanese Yen stablecoin on INXD provides an innovative asset class and new trading venue with no closing times for the millions of retail, and thousands of institutional FX traders to invest and speculate. It also provides corporate clients an innovative, more efficient Japanese Yen-backed payment solution, with instant settlement in digital wallets as opposed to the traditional market T+2 experienced in the underlying asset.
GYEN and ZUSD will initially be traded against the US Dollar and Bitcoin, with additional pairs added in the future, and unlike traditional FX markets, this digital version will be open on weekends and holidays too.
Stablecoins are already seeing traction as an alternative payment method with the issuance of over $113 billion in stablecoins. Earlier in 2021, the Office of Comptroller and Currency, the US federal banking regulator, affirmed that banks may use stablecoins to facilitate payments to customers noting the speed and efficiency of such instruments relative to more traditional payment methods.
“INX is proud to partner with GMO, a global financial services powerhouse that is issuing financial-grade stablecoins.” Shy Datika, founder and CEO at INX said, “GMO has a very synergistic portfolio of businesses that directly aligns with our customer base, which we are ideally positioned to service on the digital asset side as a US regulated cryptocurrency platform. To put it into perspective, daily turnover in Bitcoin is around $40 Billion, while in USDJPY it is closer to $750 Billion. We are very excited to finally close the gap between the FX and cryptocurrency worlds.”
“GMO’s new stablecoins, including the first regulated Japanese yen stablecoin GYEN, demonstrate our firm belief that tier one institutional traders are ready to embrace innovative digital assets,” Ken Nakamura, CEO of GMO Trust said. “We’re thrilled to bring these stablecoins to INX’s industry-leading exchange, which is built in accordance with top U.S. regulatory standards. Traditional FX brokers are actively exploring 24/7 digital FX through the utilization of stablecoins. We’re confident that the INX platform will attract the largest financial firms with its advantages in compliance, safety and technology.”
Note that due to regulatory restrictions, GYEN and ZUSD will not be offered to Japanese residents.
GMO Internet Group, based in Tokyo, is a global market leader in the Internet infrastructure, Internet finance and the digital asset space since its inception in 1991. It operates the world’s largest online FX trading platform, an Internet bank, a cryptocurrency exchange, a cryptocurrency mining operation, a payment gateway, and regulated stablecoins. GMO Internet, Inc. (TSE: 9449) is headquartered in Tokyo, Japan.
GMO Trust, based in New York, is a Limited Purpose Trust regulated by the New York Department of Financial Services. Issuing the world’s first regulated Japanese Yen stablecoin, GMO Trust also offers a USD stablecoin “ZUSD” and a stablecoin-as-a-service technology and custody product suite. GMO Trust is on a mission to bring traditional finance into the digital age with blockchain services.
INX Limited launched the first SEC-registered digital security initial public offering (IPO) for both retail and institutional investors. INX is uniquely positioned to offer retail and institutional investors and traders access to both digital securities and cryptocurrencies through both of its trading platforms.
INX’s vision is to be the preferred global regulated hub for digital assets on the blockchain, offering technology and related services for both primary and secondary markets. INX’s overall mission is to bring communities together and empower them with financial innovation. INX’s journey started with its IPO of the INX Token and raising $83M from the IPO and now operates 2 regulated trading platforms for blockchain assets and its interdealer broker plans to offer non-deliverable cryptocurrency forwards to Tier-1 banks in the near future. The INX Token has the largest market capitalization of US-issued digital securities, with the largest daily volume. The INX Token is available for trading, including for Japanese residents, here. INX is shaping the blockchain asset industry through its willingness to work in a regulated environment with oversight from regulators like the SEC and FINRA.