back Back

GMO Internet licensed by New York regulator DFS to engage in virtual currency marketplace

By Pavithra R

December 30, 2020

  • Gmo
  • Japan
Share

GMO Internet licensed by New York regulator DFS to engage in virtual currency marketplace

GMO Internet, Tokyo based Internet conglomerate has announced receiving approval from the New York Department of Financial Services to establish a limited purpose trust company, GMO-Z.com Trust Company and issue regulated JPY-pegged stablecoin, (Ticker: GYEN).

The company had to meet stringent requirements for its cybersecurity programs, as well as meet federal standards for anti-money laundering and economic sanctions so as to win the approval for the trust. Through the approval, the company can now launch both JPY-pegged stablecoin (Ticker: GYEN) and USD-pegged stablecoin (Ticker: ZUSD). Both of which can be purchased and redeemed directly from GMO Trust. GMO Trust will issue and redeem GYEN and ZUSD directly to minimize fees while improving security and transparency.

The stablecoins will:

  • Be 100% fiat-backed and always redeemable 1:1.
  • Be available on global exchanges among the most liquid digital assets.
  • Be powered by Ethereum’s blockchain-based technology.

“We’re breaking ground with our move to issue the first regulated JPY-pegged stablecoin, which many see as a safe haven asset. But we are also pioneers and innovators in this space who envision building new applications of blockchain technology that transform our relationship with traditional financial services,” said Ken Nakamura, President and CEO of GMO-Z.com Trust Company. Additionally, GMO Trust has partnered strategically with digital asset exchanges that operate globally to enhance the accessibility and liquidity of the tokens.

According to the firm, even though there are other regulated stablecoins, none are pegged to JPY. Therefore, GMO Trust will take the lead in launching the first regulated JPY-pegged stablecoin along with the U.S. dollar-pegged stablecoin in the U.S., and to be available globally.

“We seek to dramatically reduce execution times and expand the digital options for retail and institutional clients in trading, settlements, payments, lending and remittances. But our goal is also to leverage our 20-year history in this space to meet the highest standards of reliability and security as a regulated entity,” said Kurt Bierbower, SVP of Business Development at GMO-Z.com Trust Company.

Established since 1991, GMO Internet Group has been a global market leader in the Internet infrastructure, Internet finance and digital asset space. The firm launched a digital currency exchange regulated by the FSA and a large Bitcoin mining operation in 2017 and began its research and development for the launch of GYEN since 2018.

Previous Article

December 30, 2020

Krazybee appoints former RBI Exec Director as an Independent Director to board

Read More
Next Article

December 30, 2020

Biz2Credit announces taking pre-applications from small businesses for new round of the PPP

Read More







Advertise with us



IBSi Daily News Analysis

The Weekly Wrap

July 01, 2022

Gmo

The Weekly Wrap: all you need to know by Friday COB | July 1st

Read More

IBSi FinTech Journal

  • Most trusted FinTech journal since 1991
  • Digital monthly issue
  • 60+ pages of research, analysis, interviews, opinions, and rankings
  • Global coverage
Subscribe Now

Other Related News

July 01, 2022

IBS Intelligence recognizes Temenos as the #1 Best-Selling Banking Software in Six Categories

Read More

July 01, 2022

GoCardless to acquire Open Banking platform Nordigen

Read More

July 01, 2022

5 FinTech tweets you should see!

Read More

Related Reports

Sales League Table Report 2022

£ 1,500.00 / year

Know More
Global Digital Banking Vendor and Landscape Report Q1 2022

£ 1,500.00 / year

Know More
Wealth Management & Private Banking Systems Report Q1 2022

£ 1,500.00 / year

Know More
Global Transaction Banking Vendors and Landscape Report Q1 2022

£ 1,500.00 / year

Know More
Treasury and Capital Markets Systems Report 2021

£ 1,500.00 / year

Know More

IBSi Sales League Table

The industry acknowledged barometer of global banking technology vendor performance!
Get your copy now!
close-link
Get your copy now! IBSi Sales League Table 2022