Summary
GYEN is the first and only regulated Japanese Yen (JPY) stablecoin issued by a New York limited purpose trust company, GMO-Z.com Trust Company.
GYEN is minted with a 1:1 JPY. Reserves held at JPY-denominated bank account in the U.S. (100% cash collateralized).
GYEN is an ERC20 token at the moment and additional chains will be added over time.
The circulating supply will be the amount of fully paid tokens that have been minted.
GYEN is audited monthly by Friedman LLP to ensure 1:1 peg is maintained.
Attestation reports can be found here.
GYEN is not a security under U.S. law (an opinion letter can be provided upon request)
Motivation
The Japanese YEN (JPY) is the world’s third liquid currency, with USD/JPY pair being the second most traded currency pair. JPY is often considered a safe haven currency to mitigate FX risk against the USD, EURO, etc. With the recent macroeconomic environment and the volatility of traditional currencies, GYEN is heavily traded against USD, USDT, and USDC. The overall GYEN trade volume across CEXs and DEXs has surpassed $1B in the past 12 months, with a daily average volume of approximately $1.4MM.
References
- Contract address: Etherscan
- Github: GMO Trust Stablecoin Contract
- Community: Twitter | LinkedIn
- Security Audit: Smart Contract Security Audited by Quantstamp
- JPY/USD price oracle on Chainlink: JPY / USD | Chainlink
- Contract address: 0xC08512927D12348F6620a698105e1BAac6EcD911
Pros
- GYEN is the one and only Japanese Yen stablecoin, regulated by the New York State Department of Financial Services (DFS).
- Japanese Yen is the world’s third liquid currency and is often seen as a safe haven currency.
- GYEN presents an opportunity for users to hedge against other assets.
- GYEN is strategically supported by centralized exchanges, liquidity providers and market makers, custody providers, decentralized exchanges, and DEX aggregators such as 1Inch.
Cons
- GYEN is fairly new with a current market cap of approximately $30MM (3.8B GYEN in circulation)
