In April, Japan's Financial Services Agency (FSA) explicitly classified Japan's first yen stablecoin issuer, JPYC, as a "fund transfer service provider" in the "Access FSA" report for the first time. Japanese FSA officials stated that JPYC, along with payment services like PayPay and Rakuten Pay, falls under the category of "fund transfer" in terms of economic function, meaning users pay in yen to acquire JPYC, and after circulation, the stablecoin can be redeemed for yen by the final holder. Under current Japanese law, foreign exchange transactions are primarily handled by banks and fund transfer service providers; JPYC must ensure over 100% security of user funds according to relevant frameworks. (CoinPost)

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