Early adoption of blockchain:
GMO to launch Yen-Pegged Stablecoin in 2019-In July 17, GMO Internet Inc. launched a new internet banking business that utilizes blockchain as a central part of its technology. Now GMO Japanese Yen (GJY) is looking to penetrate the Asian markets in the Fiscal year 2019. Z.com. a cryptocurrency exchange subsidiary launched by GMO as part of its wider efforts to move into the cryptocurrency business. The introduction of GJY to GMO’s cryptocurrency business will assist the firm in handling transactions in an efficient way.
Business expansion of GMO:
GMO announced that it would start an option that allows its employees to get half of their salary in Bitcoin. This increased the wider usage of crypto technology. Hence, led to a strong foothold in the crypto exchange and mining business. Now with the launching of GJY, the company offers price stability and supports borderless cryptocurrency transactions.
In order to expand its operations, GMO has partnered with Aozora Bank Group and others to launch a blockchain-powered online bank. This bank integrates blockchain technology for processing cross-border transactions. Similarly, helps to bridge the gap between international remittances and settlement business.
“We have banks and trust licenses in Japan, so we will issue (GJY) in Asia, but we can store assets in Japan as well,” -GMO founder and president Masatoshi Kumagai.
Kumagai also believes the company is in the right direction to avoid the issues associated with Tether. Tether is a USD-backed stablecoin that has faced rumors that it does not have adequate Fiat reserves to back its token issuances. Tether’s token issuances are supported by the appropriate number of dollar holdings, with the company’s bank accounts not named.
Masatoshi Kumagai further added: “If that happens, everyone will not be worried like with Tether; it can be said that GMO has a bank and keeps fiat there”
Early adopters of issuing stablecoins:
GMO to launch Yen-Pegged Stablecoin in 2019-GMO is the most recent of major companies to have issued a stablecoin – a cryptocurrency that uses various methods to maintain a stable price – in recent months.
- Back In July, IBM collaborated with Stronghold. Furthermore, revealed that it was working with the Stellar protocol to launch the U.S. dollar-pegged token.
- Last month in the U.S, both Gemini and Paxos crypto exchanges confirmed they would issue USD-backed stablecoins.
- Circle announced their own U.S. dollar-anchored stablecoins are now live for trading.
More recently, a big four audit giant company PwC (PriceWaterhouseCoopers) partnered with decentralized lending platform Cred. Which provides tech expertise and deliver transparency to their USD-backed stablecoin.
GMO won’t be alone in offering a Yen-pegged coin, since the founding partners of a $1 billion blockchain fund based in China revealed its plans to roll out a Yen-anchored offering in mid-September.